Which of the following statements about the real loanable funds market is not true?
a. Movements in the real risk-free interest rate cause significant changes in borrowers' willingness and ability to tap the domestic credit market if the demand is highly elastic.
b. The more inelastic a nation's supply of real loanable funds, the less sensitive domestic savers, banks, foreigners, and governments are to changes in the real risk-free interest rate.
c. Monetary policy is usually stronger in nations with inelastic real loanable funds demands.
d. Fiscal policy is usually weaker in nations with elastic real loanable funds demands.
e. All of the above are true.
.C
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If income doubles and the quantity demanded of good X more than doubles, then good X can be described as a
a. substitute good. b. complement good. c. necessity. d. luxury.
The balance of trade records information about: a. purchases of U.S. merchandise exports by foreigners
b. purchases of foreign financial assets by Americans. c. American purchases of foreign services while traveling abroad. d. errors and omissions.
Those who believe that monopolies are both inevitable and undesirable would probably support price regulation
Indicate whether the statement is true or false
The portion of income which is earned in the form of wages for labor is about
a. 15% b. 35% c. 51% d. 60%