What Happens When the Quantity of Funds Demanded Is Less

question 13

Multiple Choice

What happens when the quantity of funds demanded is less than the quantity supplied?

• A)interest rates rise
• B)interest rates rise and bond prices fall
• C)bond prices fall
• D)interest rates fall and bond prices rise

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Definitions:

Frontal Lobe

The part of the brain located at the front of each cerebral hemisphere, responsible for voluntary movement, expressive language, and managing higher level executive functions.

Temporal Lobe

The areas in each cerebral hemisphere lying below the temples; includes tissue crucial for hearing and many aspects of language use.

Occipital Lobe

The rearmost area of each cerebral hemisphere; includes tissue crucial for processing visual information.

Simple Reaction Time

The time it takes for a person to respond to a stimulus, such as a light or sound, with a simple response like a button press.