A Decrease in the Demand for Loanable Funds and a Leftward

question 120

Multiple Choice

A decrease in the demand for loanable funds and a leftward shift of the demand for loanable funds curve results from

• A) decreases in the expected profit.
• B) technological improvements.
• C) tax cuts.
• D) an increase in the real interest rate.

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Definitions:

Bribe

A sum of money or other valuable consideration given or promised with a view to corrupt the behavior of a person, typically to influence official actions or decisions.

Bretton Woods Agreement

A series of agreements made in 1944 that established the rules for commercial and financial relations among major world economies, leading to the creation of the International Monetary Fund and the World Bank.

International Monetary Fund

An international organization that aims to foster global monetary cooperation, secure financial stability, facilitate international trade, promote high employment and sustainable economic growth, and reduce poverty around the world.

National Economies

The economic systems and activities tied to a specific country, encompassing everything from production to consumption and the management of resources.