Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Consumer loans are charged very high interest rates because Group of answer choices Consumer loans are among the most costly and most risky to make
Consumer loans are charged very high interest rates because
Group of answer choices
Consumer loans are among the most costly and most risky to make per dollar of loanable funds committed to them
Household borrowings appear to be interest rate elastic, meaning if banks charge a higher rate, consumers will borrow more.
Consumer loans are relatively safe because consumers pay their loans on time to avoid late payment fees.
Consumers save more when interest rates increase
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started