The Following Are All Determinants of the Supply of Loanable

question 167

Multiple Choice

The following are all determinants of the supply of loanable funds except:

• A) wealth.
• B) expectations of future economic conditions.
• C) social welfare policies.
• D) the rate of return on investment.

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Definitions:

Raw Materials

Any materials that go into the final product.

Book Value per Share

The equity available to common shareholders divided by the number of outstanding shares, indicating the value of a company’s equity on a per-share basis.

Market Price

The current price at which an asset or service can be bought or sold in the marketplace.

Common Share

Equity securities that represent ownership in a corporation, giving holders voting rights and a share in the company’s profits through dividends.