Question

The supply of loanable funds schedule shows that the
A) higher the real interest rate, the greater the quantity of loanable funds supplied.
B) higher the real interest rate, the greater the opportunity cost of supplying loanable funds.
C) higher the real interest rate, the lower the profit from making new investment.
D) lower the real interest rate, the greater the quantity of loanable funds supplied.
E) higher the real interest rate, the more the supply of loanable funds curve shifts rightward.

Answer

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