If There Is Shortage of Loanable Funds, What Is Most

question 24

Multiple Choice

If there is shortage of loanable funds, what is most likely to happen?

• A) The supply for loanable funds shifts right and the demand shifts left.
• B) The supply for loanable funds shifts left and the demand shifts right.
• C) Neither curve shifts, but the quantity of loanable funds supplied increases and the quantity demanded decreases as the interest rate rises to equilibrium.
• D) Neither curve shifts, but the quantity of loanable funds supplied decreases and the quantity demanded increases as the interest rate falls to equilibrium.

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Definitions:

Underworld Realms

Mythological or religious spaces considered to be the domain of the dead, ruled by specific deities and inhabited by spirits or supernatural entities, found in many cultures' beliefs.

Handscroll

A long, narrow scroll for displaying a series of scenes in East Asian art, viewed by unrolling from right to left.

Gu Kaizhi

A celebrated Chinese painter and poet of the Jin Dynasty, often considered the founder of classical Chinese landscape painting, known for works like "The Admonitions Scroll."

Zhou Jichang

A Chinese painter known for his contributions to the "Hundred Ramas" series, illustrating scenes from Buddhist lore with meticulous detail and vibrant colors.