question 7 points 2 how can higher real interest rates impact the savings behavior of consumers? higher…

question 7 points 2 how can higher real interest rates impact the savings behavior of consumers? higher rates lead to excessive consumer spending higher rates incentivize saving higher rates do not affect saving behavior higher rates discourage saving

question 7 points 2 how can higher real interest rates impact the savings behavior of consumers? higher rates lead to excessive consumer spending higher rates incentivize saving higher rates do not affect saving behavior higher rates discourage saving

Answer

Answer:

Higher rates incentivize saving

Brief Explanations:

Higher real - interest rates make saving more attractive as the return on savings is greater, thus encouraging consumers to save more.