If the Real Interest Rate Rises, Then the

Multiple Choice

If the real interest rate rises, then the

A) supply of saving increases and the supply of loanable funds curve shifts rightward.
B) supply of saving decreases and the supply of loanable funds curve shifts leftward.
C) quantity of saving decreases and there is a movement down along the supply of loanable funds curve.
D) demand for investment decreases and the demand for loanable funds curve shifts leftward.
E) quantity of saving increases and there is a movement up along the supply of loanable funds curve.