Which of the following could explain an increase in the equilibrium interest rate and a decrease in the equilibrium quantity of loanable funds? 1) The demand curve for loanable funds shifted right. • 2) The demand curve for loanable funds shifted left. 3) The supply curve of loanable funds shifted right. 4) The supply curve of loanable funds shifted left.

Economics (MindTap Course List)
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Chapter29: Interest, Rent, And Profit
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Which of the following could explain an increase in the equilibrium interest rate and a decrease in the equilibrium quantity of
loanable funds?
1) The demand curve for loanable funds shifted right.
• 2) The demand curve for loanable funds shifted left.
3) The supply curve of loanable funds shifted right.
4) The supply curve of loanable funds shifted left.
Transcribed Image Text:Which of the following could explain an increase in the equilibrium interest rate and a decrease in the equilibrium quantity of loanable funds? 1) The demand curve for loanable funds shifted right. • 2) The demand curve for loanable funds shifted left. 3) The supply curve of loanable funds shifted right. 4) The supply curve of loanable funds shifted left.
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Market for loanable funds shows demand and supply for loanable funds and equilibrium in the market is reached at the intersection of demand and supply of loanable funds

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