Question
23) If the supply of loanable funds increases, what is the result for the equilibrium of the loanable funds market? A) A surplus of loanable
23) If the supply of loanable funds increases, what is the result for the equilibrium of the loanable funds market?
A) A surplus of loanable funds would push interest rates down and increase the equilibrium quantity of loanable funds.
B) A surplus of loanable funds would push interest rates up and decrease the equilibrium quantity of loanable funds.
C) A shortage of loanable funds would push interest rates down and increase the equilibrium quantity of loanable funds.
D) A shortage of loanable funds would push interest rates up and decrease the equilibrium quantity of loanable funds.
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