The economy has been sluggish in recent months with slow economic growth.

Question

Which results would lead to a strong and healthy economy? (1 point)

An increase in the money supply increases interest rates and
inflation, which spurs economic growth.

An increase in the money supply and decrease in interest rates
result in more lending and risk.

A short-term profits and decrease in the money supply cause a
decrease in interest rates and increased lending.

A decrease in the money supply increases interest rates, which
increases lending.

Answer 1

An increase in the money supply and decrease in interest rates result in more lending and risk.