Higher interest rates
A. Increase the quantity of loanable funds.
B. Decrease the quantity of loanable funds.
C. Increase the level of risk.
D. Decrease the level of risk.
Answer: A
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The primary factor that caused some economists to lose their faith in the Keynesian approach to macroeconomic policy was
A) the high levels of unemployment that occurred during the Great Depression. B) the presence of both high unemployment and high inflation during the 1970s. C) theoretical proof that Keynes's ideas were invalid. D) evidence that Keynes's ideas were useful during economic recessions, but not during economic booms.
What caused the dramatic reversal in relative economic positions of the North and South after the Civil War?
a. economic advances in the north and mid-west b. technological advances in New England industries c. increases in Northern exports to Europe d. decline in southern output