Multiple Choice
Suppose that Congress passes a law that prohibits mutual funds from holding corporate bonds. The likely result would be a(an)
A) shift to the right in the demand curve for bonds.
B) shift to the left in the supply curve for loanable funds.
C) increase in the equilibrium interest rate.
D) decrease in the equilibrium interest rate.
Correct Answer:
Verified
Correct Answer:
Verified
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