Other things the same, if the interest rate falls, then

a. firms will want to borrow more, which increases the quantity of loanable funds demanded.
b. firms will want to borrow less, which decreases the quantity of loanable funds demanded.
c. firms will want to borrow more, which increase the quantity of loanable funds supplied.
d. firms will want to borrow less, which decreases the quantity of loanable funds supplied.

a

Economics

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