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In the Market for Loanable Funds, the Demand Curve Is

Question 43

Multiple Choice

In the market for loanable funds, the demand curve is based on _____, and the supply curve is based on:


A) borrowers' willingness to borrow; savers' willingness to save.
B) savers' willingness to save; borrowers' willingness to borrow.
C) consumers' need to save; investors' need to borrow.
D) investors' need to save; consumers' need to borrow.

Correct Answer:

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