When the Real Interest Rate ________ the Equilibrium Real Interest

question 34

Multiple Choice

When the real interest rate ________ the equilibrium real interest rate,there is a ________ of loanable funds and the real interest rate ________.

• A)is less than;shortage;falls
• B)is less than;surplus;rises
• C)is less than;shortage;rises
• D)exceeds;surplus;rises
• E)exceeds;shortage;rises

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Definitions:

Social Psychology

The scientific study of how individuals think, feel, and behave in social contexts.

Attribution

The process by which individuals explain the causes of behavior and events, often attributed to internal or external factors.

Internal Attribution

The inference that an event or a person's behavior is due to personal factors such as traits, abilities, or feelings.

External Attribution

The process of inferring that a person's behavior is due to situational factors outside of their control, rather than internal characteristics.