If the demand for loanable funds shifts right,the equilibrium interest rate

Question

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If the demand for loanable funds (such as from businesses or individuals seeking to invest or make purchases) shifts right, this means they want to borrow more at each interest rate. This increases the demand for loanable funds and leads to a higher equilibrium interest rate (the point where demand and supply of loanable funds meet). At the higher interest rate, lenders (such as banks or individuals saving money) are willing to supply more loanable funds, and quantity of loanable funds rises as well. Therefore, the correct option is A; the equilibrium interest rate and quantity of loanable funds rise.

If the Demand for Loanable Funds Shifts Right,the Equilibrium Interest