The Demand Curve for Loanable Funds Is

question 48

Multiple Choice

The demand curve for loanable funds is

• A)upward sloping, indicating that lower interest rates are associated with a lower demand for loanable funds.
• B)downward sloping, indicating that businesses will increase their demand at lower interest rates, but that consumers will probably decrease the supply of loanable funds at lower interest rates.
• C)downward sloping, indicating that both businesses and consumers will increase the quantity demanded of loanable funds as the interest rate decreases.
• D)horizontal at the equilibrium interest rate.

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Definitions:

Trust

The belief in the reliability, truth, ability, or strength of someone or something.

Leadership Style

The approach and methods used by a leader to motivate, influence, and direct others in achieving goals and fulfilling objectives.

Concern for Task

The focus and priority given to completing job responsibilities and achieving goals.

Edwin Locke

an American psychologist known for his research on goal setting and motivation.