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If Households Experienced Greater Uncertainty About Their Economic Future,which of the Following

Question 77

Multiple Choice

If households experienced greater uncertainty about their economic future,which of the following would occur in the market for loanable funds?


A) Both the supply and demand for funds would increase,lowering the interest rate and raising investment spending.
B) The supply of funds would decrease,raising the interest rate and lowering investment spending.
C) The supply of funds would decrease,lowering both the interest rate and investment spending.
D) The supply of funds would increase,lowering both the interest rate and investment spending.
E) The supply of funds would increase,lowering the interest rate and raising investment spending.

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