If the supply of loanable funds decreases,ceteris paribus,interest rates will:
A) increase.
B) decrease.
C) remain the same.
D) change indeterminately.
Correct Answer:
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Q84: At an interest rate of 8%,borrowers' demand
Q85: If the interest rate rises from 5%
Q86: Q87: The demand to borrow function is: Q88: Use the following to answer questions Q90: Which variable is determined in the market Q91: If the demand for loanable funds decreases,ceteris Q92: Use the following to answer questions Q93: At lower interest rates,the cost of investing Q94: If the demand for loanable funds increases,ceteris
A) upward
Figure:
Figure:
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