Which of the Following Factors Cause the Demand for Funds

question 93

Multiple Choice

Which of the following factors cause the demand for funds curve to shift?

• A)utility derived from asset purchased with borrowed funds
• B)restrictiveness of nonprice conditions of borrowing
• C)domestic and foreign economic conditions
• D)All of these choices are correct.

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Definitions:

Sectoral Shifts

Changes in the economic landscape that cause resources to be allocated differently across various sectors of the economy.

Structural Unemployment

A form of unemployment caused by a mismatch between the skills held by the unemployed and the skills demanded by the prevailing job market.

Natural Rate Of Unemployment

The level of unemployment consistent with a stable rate of inflation, where labor market is in equilibrium.

Unemployed Workers

Individuals who are without a job but are actively seeking employment.