Refer to the Graph of the Supply and Demand for Loanable

question 118

Multiple Choice

Refer to the graph of the supply and demand for loanable funds. A limit of 10 percent on the interest rate that banks can charge for loans will

• A)have an equal effect on borrowers and lenders.
• B)save borrowers 5 percent and cost lenders 5 percent on the amount loaned.
• C)give lenders a premium of 5 percent and cost borrowers 5 percent on the amount loaned.
• D)save borrowers 10 percent and cost lenders 10 percent on the amount loaned.

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Definitions:

Responsibilities

Duties or obligations one is expected or required to fulfill.

Maslow's Hierarchy

Maslow's Hierarchy is a psychological theory proposed by Abraham Maslow that organizes human needs into a pyramid with five levels, from basic physiological needs to self-actualization, suggesting that higher needs become pertinent only once lower needs are satisfied.

Safety And Security

Measures and protocols put in place to ensure the physical and psychological wellbeing of individuals or groups.

Need Level

The intensity of necessity or desire for certain things in life, such as safety, love, or esteem.