If the real interest rate rises,
A) the quantity of loanable funds demanded decreases.
B) the demand for loanable funds curve shifts leftward.
C) the demand for loanable funds curve shifts rightward.
D) the quantity of loanable funds demanded increases.
E) there is is movement down along the demand for loanable funds curve.
A
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If penalties are imposed on the sellers of illegal goods or services, then the equilibrium price ________ and the equilibrium quantity ________
A) rises; increases B) rises; decreases C) falls; increases D) falls; decreases
Income elasticity of demand is greater than zero for all of the following except
a. restaurant meals b. beer c. owner-occupied housing d. food e. rental housing
Suppose three firms form a cartel and agree to charge a specific price for their output. Each individual firm has an incentive to maintain the agreement because the firm's individual profits will be the greatest under the cartel arrangement
a. True b. False Indicate whether the statement is true or false
The ratio of the change in consumption to the change in disposable income is the
A. marginal propensity to save. B. marginal propensity to consume. C. average propensity to save. D. average propensity to consume.