Which of the following would be most likely to increase the supply of loanable funds and lead to low interest rates?
A) Expansionary monetary policy that resulted in high rates of inflation.
B) Constant policy shifts that generate uncertainty and reduce investment.
C) Demographic shifts that increase the number of people in age categories with high saving rates relative to the number in age categories with a strong demand for loanable funds.
D) Large budget deficits that push the government debt to GDP ratio to a high level.
Correct Answer:
Verified
Q83: Which of the following correctly indicates a
Q84: When interest rates decline to low levels
Q85: What has happened to the ratio of
Q86: Which of the following would indicate that
Q87: If the Federal Reserve sells bonds, the
Q89: When the Fed decreases the money supply,
Q90: Which of the following will increase interest
Q91: Alan Greenspan and Ben Bernanke, former chairmen
Q92: In response to a severe recession, the
Q93: Which of the following would be most
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