When the Real Interest Rate Rises

question 241

Multiple Choice

When the real interest rate rises

• A) there is a downward movement along the demand for loanable funds curve.
• B) the demand for loanable funds curve shifts rightward.
• C) the demand for loanable funds curve shifts leftward.
• D) there is an upward movement along the demand for loanable funds curve.

---

Definitions:

Change One's Behavior

The process of modifying personal actions, habits, or reactions, often to improve oneself or adapt to new conditions or expectations.

Social Allergy Effect

A process by which repeated exposure to irritating behavior in close relationships leads to increasingly intense negative reactions over time.

Self-Monitor

An individual's ability to regulate behavior to accommodate social situations, indicating a sensitivity to social cues and a willingness to adjust accordingly.

Stave Off

To prevent or delay something undesirable, such as illness or an adverse event, from happening.