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At the current interest rate of [5%], national savings in Florin is currently [$200] million but investment demand is currently [$100] million. Which of the
At the current interest rate of \[5\%\], national savings in Florin is currently \[\$200\] million but investment demand is currently \[\$100\] million. Which of the following best describes what will happen once the credit market clears in Florin? Choose 1 answer: Choose 1 answer: (Choice A) The real interest rate will stay \[5\%\]; the amount of loans made will be \[\$200\] million A The real interest rate will stay \[5\%\]; the amount of loans made will be \[\$200\] million (Choice B) The real interest rate will decrease; the amount of loans made will be \[\$100\] million B The real interest rate will decrease; the amount of loans made will be \[\$100\] million (Choice C) The real interest rate will be lower than \[5\%\]; the amount of loans made will be between \[\$100\] million and \[\$200\] million C The real interest rate will be lower than \[5\%\]; the amount of loans made will be between \[\$100\] million and \[\$200\] million (Choice D) The real interest rate will increase; the amount of loans made will be \[\$200\] million D The real interest rate will increase; the amount of loans made will be \[\$200\] million (Choice E) The real interest rate will be
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