If the Quantity of Loanable Funds Supplied Is Less Than

question 70

Multiple Choice

If the quantity of loanable funds supplied is less than the quantity demanded,then there is a

• A)shortage of loanable funds and the interest rate will fall.
• B)shortage of loanable funds and the interest rate will rise.
• C)surplus of loanable funds and the interest rate will fall.
• D)surplus of loanable funds and the interest rate will rise.

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