Which Is Not a Reason the Demand Curve for Loanable

question 23

Multiple Choice

Which is not a reason the demand curve for loanable funds slopes down?

• A)The value of the MRP in terms of today's money shrinks as the interest rate rises.
• B)Future returns must be discounted more when the interest rate rises.
• C)As the interest rate rises, more and more investments become unprofitable.
• D)Production becomes more profitable in the future, reducing required inputs today.

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