Refer to the Following Graph to Answer the Following Questions

question 32

Multiple Choice

Refer to the following graph to answer the following questions:
-Assuming the figure represents the market for loanable funds,and that point C represents $40 million and point D represents $70 million,then it would be true that

• A) at interest rate A,the market is in equilibrium.
• B) at interest rate A,there is a surplus of $30 million of loanable funds.
• C) at interest rate A,there is a shortage of $30 million of loanable funds.
• D) because there is a disequilibrium at interest rate A,interest rates must fall.
• E) the interest rate represented by A must be greater than that represented by B.

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Definitions:

Company Towns

Historically, communities where practically all stores and housing are owned by the one company that is also the main employer.

Gilbreths

Refers to Frank and Lillian Gilbreth, pioneers in the field of industrial engineering, known for their studies in time and motion, and efforts to improve workplace efficiency.

Self-Esteem

The perception of one's own value or worth, which can impact behavior, motivation, and emotional well-being.

Human Relations

The study and management of how individuals interact and communicate within groups, especially in a workplace setting.