A Rise in the Real Interest Rate

question 143

Multiple Choice

A rise in the real interest rate

• A) decreases the demand for loanable funds.
• B) increases the demand for loanable funds.
• C) decreases the quantity of loanable funds demanded.
• D) increases the quantity of loanable funds demanded.

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Definitions:

Voltage Dividers

Circuits that reduce voltage to a lower value, using a series connection of resistors or other components to distribute the input voltage into smaller outputs.

Field-Effect Transistors

Semiconductor devices used to control the electrical behavior in circuits, relying on an electric field to control the flow of current.

Multirange Voltmeter

An instrument designed to measure voltage levels in multiple ranges, allowing for flexibility and accuracy across different electrical applications.

Wire-Wound

Describes a type of resistor or inductor made by winding a wire, usually made of a resistive material, around a core.