[Solved] Suppose business decision makers become more optimistic about future economic conditions and desire additional funds to expand their plant capacity. What is the likely effect on the loanable funds market? A) The demand for loanable funds will increase, and the interest rate will rise. B) The demand for loanable funds will decrease, and the interest rate will fall. C) The supply for loanable funds will increase, and the interest rate will fall. D) The supply for loanable funds will decrease, and the interest rate will rise. Endoderm: The innermost of the three primary germ layers in the embryo, giving rise to the lining of the digestive and respiratory systems. Digestive Tube: A continuous hollow tube extending from the mouth to the anus, through which food is processed and nutrients absorbed. Plankton: Free-floating, mainly microscopic aquatic organisms found in the upper layers of the water; consisting of phytoplankton and zooplankton. Compare with nekton. Microscopic Organisms: Organisms too small to be seen with the naked eye, often including bacteria, archaea, some fungi, and protists.