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Why demand curve in classical theory have negative slope

Problem 1: Explain why the supply curve in the classical theorey of interest rates has a positive slope. Why does the demand curve in the classical theory have a negative slope?

Problem 2: What assumptions underlie the rational expectations view of interest?

Problem 3: What exactly is a basis point? Why is it an important interest rate measure?

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Microeconomics: Why demand curve in classical theory have negative slope

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