A firm considering whether to borrow money to purchase a capital good will compare the rate of interest for the loan with the
A) opportunity cost of the capital good.
B) rate of return on the investment.
C) length of the investment.
D) Treasury bill rate.
Correct Answer:
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Q145: Q146: Which factor will decrease the demand for Q147: In the market for loanable funds, Q148: The demand curve for loanable funds represents Q149: The demand for loanable funds is downsloping Q151: The supply curve of loanable funds is Q152: The loanable funds theory of interest shows Q153: The fact that people prefer present consumption Q154: Q155: Unlock this Answer For Free Now! View this answer and more for free by performing one of the following actions Scan the QR code to install the App and get 2 free unlocks Unlock quizzes for free by uploading documents![]()
A)an increase
A)because![]()
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