Solved

The Demand for Loanable Funds Decreases While the Supply Simultaneously

Question 104

Multiple Choice

The demand for loanable funds decreases while the supply simultaneously increases.This would cause the equilibrium


A) quantity of loanable funds to decrease and the equilibrium interest rate to increase.
B) quantity of loanable funds to increase and the equilibrium interest rate to decrease.
C) quantity of loanable funds to increase,but the effect on the equilibrium interest rate would be uncertain.
D) interest rate to increase,but the new equilibrium quantity would be uncertain.
E) interest rate to decrease,but the new equilibrium quantity would be uncertain.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents