Refer to the Following Graph to Answer the Following Questions

question 94

Multiple Choice

Refer to the following graph to answer the following questions:
-In the figure,at an interest rate of 4 percent,the

• A) quantity demanded of loanable funds equals the quantity supplied of loanable funds,and equilibrium is reached.
• B) quantity demanded of loanable funds is greater than the quantity supplied of loanable funds,and there is a surplus of loanable funds.
• C) demand for loanable funds is greater than the supply of loanable funds,and there is a shortage of loanable funds.
• D) quantity demanded of loanable funds is greater than the quantity supplied of loanable funds,and there is a shortage of loanable funds.
• E) quantity demanded of loanable funds is less than the quantity supplied of loanable funds,and there is a shortage of loanable funds.

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Definitions:

Common Resource

A resource like air or water that is not owned by anyone, but can be used by everyone, often leading to overuse and depletion.

Low Productivity

A situation where there is an inefficient level of output produced relative to the input used, often leading to decreased economic performance.

Common Resource

A natural or man-made resource that is available to all but can be depleted if overused, such as fisheries, clean air, or public parks.

Overuse

The excessive use of a resource, leading to its depletion or degradation.