As a Result of the Recession in 2008, the Default

question 122

Multiple Choice

As a result of the recession in 2008, the default risk increased. How did this change affect the loanable funds market?

• A) There was a movement up along the supply of loanable funds curve.
• B) There was a leftward shift in the supply of loanable funds curve.
• C) There was a movement down along the demand for loanable funds curve.
• D) There was a rightward shift in the supply of loanable funds curve.

---

Definitions:

Listener Analysis

The assessment of an audience's characteristics, preferences, and feedback to tailor communication effectively.

Coordinator

A person or thing that organizes and harmonizes activities or events for efficient operation.

Social Judgment Theory

A theory that explores how people form impressions, make judgments, and process persuasive messages based on different points of view.

Latitude of Acceptance

It is a concept in psychology and communication studies that describes the range of ideas that a person finds tolerable or worth considering.