Multiple Choice
According to the loanable funds approach to interest rate determination,the demand curve slopes downward because:
A) when interest rates are low, inflation is low.
B) the lower the interest rates, the greater the demand for funds.
C) the higher the interest rates, the greater the demand for funds.
D) the lower the interest rates, the smaller the demand for funds.
Correct Answer:
Verified
Correct Answer:
Verified
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