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If the Demand for Loanable Funds Shifts Right, Then the Real

Question 12

Multiple Choice

If the demand for loanable funds shifts right, then the real interest rate


A) and the equilibrium quantity of loanable funds both fall.
B) falls and the equilibrium quantity of loanable funds rises.
C) and the equilibrium quantity of loanable funds both rise.
D) rises and the equilibrium quantify of loanable funds falls.

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