Multiple Choice
A stable equilibrium interest rate in the loanable funds market requires that:
A) Planned saving equals planned investment
B) Money supply equals the GDP
C) Quantity of loanable funds supplied equals quantity of loanable funds demanded
D) A and C
E) All of the above
Correct Answer:

Verified
Correct Answer:
Verified
Q11: Which of the following statements describes a
Q12: The theory of interest which assumes that
Q13: In the loanable funds theory the demand
Q14: The theory which argues that the risk-free
Q15: Equilibrium in the foreign currency markets means
Q17: Rising business profits usually are associated with
Q18: Rising interest rates will cause:<br>A) Businesses to
Q19: Positive hoarding of money takes place when
Q20: The majority of funds drawn upon for
Q21: In the loanable funds theory of interest