If the interest rate is below the equilibrium, which of the following occurs in this market?
a. excess supply
b. excess quantity supplied
c. excess demand
d. excess quantity demanded
c. excess demand
If the interest rate is below the equilibrium, then excess demand or a shortage of funds occurs in this market.
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Economic models using computer simulations can provide an estimate of the
A) recognition lag. B) decision lag. C) bureaucratic lag. D) impact lag.
A price taker is a firm that
A) seeks to maximize revenue rather than profit. B) cannot influence the market price. C) searches for the best price and then takes the highest profits possible. D) buys inputs for firms.
One thing that both critics of advertising and defenders of advertising agree on is that advertising fosters competition
a. True b. False Indicate whether the statement is true or false
A rightward shift of the supply curve is called a(n)
a) increase in supply b) decrease in supply c) decrease in quantity supplied d) increase in quantity supplied