Interest rates are determined by the supply and demand for:

Question

Quizplus · Accepted Answer

Interest rates are determined by the supply and demand for loanable funds. This includes money that institutions and individuals have available to lend or borrow, including savings deposits, bonds, and other financial assets. The greater the supply of loanable funds, the lower the interest rates will be, while a relatively low supply of loanable funds will drive interest rates up.

Interest Rates Are Determined by the Supply and Demand For