If a country's loanable funds market is initially in equilibrium and then there are capital outflows, this will result in a _____ in the equilibrium interest rate, while the equilibrium quantity of loanable funds will _____.
A) fall; increase
B) rise; decrease
C) fall; decrease
D) rise; increase
Correct Answer:
Verified
Q453: When a country's currency depreciates:
A)foreigners find the
Q454: To determine the real exchange rate, one
Q455: Suppose a U.S. dollar initially trades for
Q456: Which of the following is a payment
Q457: If the country's balance of payments on
Q459: A country that contracts its money supply
Q460: Countries A and B trade freely with
Q461: If a country finds its fixed rate
Q462: If a country wishes to raise the
Q463: A government can target its exchange rate
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents