Which of the Following Decreases the Demand for Loanable Funds

question 44

Multiple Choice

Which of the following decreases the demand for loanable funds and shifts the demand for loanable funds curve leftward?

• A) The real interest rate rises.
• B) An economy experiences a rapid increase in population.
• C) Technology that increases productivity is introduced.
• D) Wealth decreases.
• E) The economy experiences a recession.

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Definitions:

Tort Liability

Legal responsibility arising from a civil wrong or injury for which a court remedies in the form of damages.

Civil Liability

involves a legal obligation that arises in civil lawsuits as opposed to criminal proceedings, where an individual is held responsible for damages or injuries caused to another party.

Tort of Nuisance

A legal action for damages caused by a person's unreasonable use of their property, which interferes with others' rights to enjoy their property.

Trespassory Invasion

An unauthorized entry onto the property of another person, resulting in an infringement of that person's right to exclusive possession.