Multiple Choice
According to the loanable funds approach to interest rate determination,the supply curve slopes up because:
A) the lower the interest rates, the more loanable funds will be supplied.
B) higher interest rates reduce the inflation rate.
C) a rise in interest rates makes lenders more willing to supply funds.
D) when bond prices are high, more loanable funds will be supplied.
Correct Answer:
Verified
Correct Answer:
Verified
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