The equilibrium rate of interest is
A) determined by the demand and supply of loanable funds.
B) equivalent to the profit rate.
C) fixed by law in the United States.
D) the rate that ensures that households and businesses can borrow all they need.
E) equal to the value of a bond or a stock.
Correct Answer:
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Q5: The pure rate of interest is the
A)
Q6: The distinction between the pure rate of
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Q11: The rate of return on an asset
Q12: The demand curve for loanable funds slopes
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Q14: Interest rates
A) help ensure that only those
Q15: The amount of money one must pay
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