Multiple Choice
In a credit crunch:
A) interest rates are so low that savers decrease the quantity of available loanable funds.
B) borrowers are forced to pay very high interest rates or may not be able to borrow at all.
C) unemployment is usually very low and the growth rate of output is very high.
D) the spread becomes negative.
Correct Answer:

Verified
Correct Answer:
Verified
Q194: As a consequence of the Irish banking
Q195: Even if a bank is in excellent
Q196: Ireland's rapid growth for much of the
Q197: Following the 2008 financial crisis:<br>A)both the United
Q198: During the financial crisis of 2008, the
Q200: Investment banks differ from commercial banks because
Q201: In a bank run:<br>A)the bank has a
Q202: During the 2008 financial crisis, investors feared
Q203: The primary cause of the Spanish recession
Q204: When the economy is in a liquidity