As a Result of a Recession, the Default Risk Increases

Multiple Choice

As a result of a recession, the default risk increases. How does this change affect the loanable funds market?

A) There is a movement up along the supply of loanable funds curve.
B) There is a leftward shift of the supply of loanable funds curve.
C) There is a movement down along the demand for loanable funds curve.
D) There is a rightward shift of the supply of loanable funds curve.
E) There is a rightward shift of the demand for loanable funds curve.