Deflationary spiral - Study guides, Revision notes & Summaries

These notes were prepared based on the lectures and supplemented by information from textbooks and tutorials where parts of the lecture were unclear. Graphs, equations, and bullet-point explanations included. Prepared by a first class Economics and Management student for the FHS Macroeconomics paper.

Test Bank For Macroeconomics for Life Smart Choices for All, 2nd Edition by Avi J. Cohen Chapter 1- Why do high interest rates lower the demand for money - ANSWhen interest rates are high, the opportunity cost of holding money becomes more significant because individuals and businesses could earn more interest by investing or saving their money in interest-bearing assets (ex. Bonds or savings accounts) High-interest rates increase the cost of borrowing money, causing individuals a...

A succinct and complete summary of the Deflation topic of AQA A-level Economics. Using only this material when revising for the Deflation section of Paper 1 I was able to achieve an A* in Economics.