During the pandemic, some people perceived that their future may have been in jeopardy at the time. As such, what would have happened to the equilibrium real interest rate, savings/borrowing, and consumption?
Real interest rate: Decrease, Savings: Decrease, Consumption: Increase
Real interest rate: Decrease, Savings: Decrease, Consumption: Decrease
Real interest rate: Increase, Savings: Decrease, Consumption: Increase
Real interest rate: Increase, Savings: Increase, Consumption: Increase