Multiple Choice
The equilibrium interest rate
A) equates the aggregate demand for funds with the aggregate supply of loanable funds.
B) equates the elasticity of the aggregate demand and supply for loanable funds.
C) decreases as the aggregate supply of loanable funds decreases.
D) increases as the aggregate demand for loanable funds decreases.
Correct Answer:
Verified
Correct Answer:
Verified
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