Multiple Choice
During the financial crisis in 2007 and 2008, financial institutions believed that default risks were higher. As a result, there was ________ in the supply of loanable funds and a ________ in the real interest rate.
A) a decrease; fall
B) an increase; rise
C) an increase; fall
D) a decrease; rise
Correct Answer:
Verified
Correct Answer:
Verified
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