If Interest Rates Rise but the Quantity of Loanable Funds

question 44

Multiple Choice

If interest rates rise but the quantity of loanable funds demanded and supplies remains constant,this implies that

• A) both the demand and the supply of loanable funds increased.
• B) both the demand and the supply of loanable funds decreased.
• C) the demand and the supply of loanable funds both remained the same.
• D) the demand for loanable funds decreased while the supply increased.
• E) the demand for loanable funds increased while the supply decreased..

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Definitions:

Colon

A part of the large intestine that absorbs water and salts from food remnants, turning them into solid waste for excretion.

Ultrasound

The noninvasive therapeutic or diagnostic use of very high frequency sound waves for examination of internal body structures.

High-Frequency Sound Waves

Sound waves with frequencies higher than those audible to humans, used particularly in medical imaging and diagnostics.

Echoes

The sounds reflected back to the source by an obstruction, helping in determining the location of objects through echolocation or used in diagnostic tools like ultrasounds.