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If the Quantity of Loanable Funds Supplied Is Less Than

Question 70

Multiple Choice

If the quantity of loanable funds supplied is less than the quantity demanded,then there is a


A) shortage of loanable funds and the interest rate will fall.
B) shortage of loanable funds and the interest rate will rise.
C) surplus of loanable funds and the interest rate will fall.
D) surplus of loanable funds and the interest rate will rise.

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