If there is a surplus in the market for loanable funds, the resulting change in the real interest rate
a. reduces both the quantity of loanable funds supplied and the quantity of loanable funds demanded.
b. reduces the quantity of loanable funds supplied and raises the quantity of loanable funds demanded
c. raises both the quantity of loanable funds supplied and the quantity of loanable funds demanded.
d. raises the quantity of loanable funds supplied and reduces the quantity of loanable funds demanded.
b
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Which of the following is the best test of whether a government program should be undertaken?
a. approval by a majority in each of the two branches of Congress b. the total number of jobs created by the program c. the increase in GDP as a result of the government program d. value generated by the government program that exceeds the value of the production it crowds out
The United States' first income tax was imposed during
(a) the American Revolutionary War (1763–1789). (b) the Civil War (1861–1865). (c) the 1930's Great Depression. (d) World War II (1939–1945).
Double-entry bookkeeping requires that the debit and credit entries for any transaction must balance
a. True b. False Indicate whether the statement is true or false
Which of the following is false?
A. In general, the deregulation of the airlines and interstate trucking industries led to higher costs and higher prices. B. Since the early 1980s the size of companies acquired in mergers has been getting larger. C. The rule of reason is partially in force today as firms are subject to prosecution if they control 60% of the relevant market and have behaved badly toward their competitors. D. When two firms in the same industry form one larger company it is called a horizontal merger.