Multiple Choice
If there is a surplus of loanable funds, what best describes the difference?
A) The quantity demanded is less than the quantity supplied, and the interest rate will rise.
B) The quantity demanded is greater than the quantity supplied, and the interest rate will fall.
C) The quantity demanded is less than the quantity supplied, and the excess is the net capital outflow
D) The quantity demanded is less than the quantity supplied, and the shortage is the net capital inflow.
Correct Answer:
Verified
Correct Answer:
Verified
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