Interest rates will fall when the demand curve for loanable funds:
A) shifts up.
B) shifts to the right.
C) is affected by poor growth prospects in the economy.
D) shifts sideways.

Question

Quizplus · Accepted Answer

Interest rates will fall when the demand for loanable funds decreases, which can happen due to poor growth prospects in the economy, leading to less borrowing and lower interest rates.

Interest Rates Will Fall When the Demand Curve for Loanable