Technological Progress That Increases Expected Profit Shifts the Demand for Loanable

question 48

Multiple Choice

Technological progress that increases expected profit shifts the demand for loanable funds curve

• A)leftward and decreases the real interest rate.
• B)rightward and increases the real interest rate.
• C)rightward and decreases the real interest rate.
• D)leftward and increases the real interest rate.
• E)rightward and the supply of loanable funds curve leftward.

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Definitions:

Maximizing

The practice of thoroughly considering all available options to make the best possible decision.

Satisficing

A decision-making strategy that involves searching through the available alternatives until an acceptability threshold is met, rather than seeking the best possible outcome.

Phoneme

The smallest unit of sound in a language that can distinguish one word from another.

Morpheme

The smallest grammatical unit in a language, unable to be further divided without altering or losing its meaning.