Which of the following describes a likely effect of an expansionary policy on interest rates?

An expansionary policy is when the government or central bank takes actions to stimulate the economy, often by lowering interest rates. When interest rates are lower, borrowing money becomes cheaper for businesses and consumers. This encourages more people to take out loans to invest in things like homes or new projects, which can lead to economic growth. For example, if a small business wants to expand and buy new equipment, lower interest rates make it easier for them to finance that purchase. Overall, an expansionary policy typically leads to lower interest rates, which helps increase investment in the economy.