If the Equilibrium Rate of Interest Would Be 10 Percent

question 113

Multiple Choice

If the equilibrium rate of interest would be 10 percent, but the usury law sets 8 percent,

• A)the quantity of funds supplied would be greater than the quantity demanded.
• B)economic efficiency would be promoted.
• C)some applicants for loans would likely be turned down.
• D)lenders would be able to fund fully all requests for loans.

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Definitions:

Ceiling

A metaphorical term referring to the upper limit of capacity, potential, or achievement in various contexts, including intellectual and professional realms.

Vision

The ability to see, which involves the processing of visual information by the eyes and brain, and is crucial for navigation, interpretation of the environment, and many aspects of communication and interaction.

Perception Of Occluded Objects

The cognitive ability to recognize and understand objects even when they are partially obscured from view.

Eye Movements

The movement of the eyes that enables visual tracking and scanning of the environment.