Multiple Choice
If inflation is expected to decrease, then
A) savers will provide less funds at the existing equilibrium interest rate.
B) the equilibrium interest rate will increase.
C) the equilibrium interest rate will decrease.
D) borrowers will demand more funds at the existing equilibrium interest rate.
Correct Answer:
Verified
Correct Answer:
Verified
Q11: To forecast the real interest rate for
Q12: Forecasters should consider future plans for corporate
Q13: If inflation turns out to be lower
Q14: The _ sector is the largest supplier
Q15: The business demand for loanable funds is
Q17: If economic expansion is expected to decrease,
Q18: Businesses demand loanable funds to<br>A)finance installment debt.<br>B)subsidize
Q19: Which of the following is least likely
Q20: If the real interest rate is expected
Q21: The federal government's demand for funds is