Fill in the Blank QuestionFill in the blank question.If a firm is willing to borrow more funds at the same interest rate, it is implied that the demand curve for loanable funds has shifted to the .

If there is a shortage of loanable funds, thenGroup of answer choicesneither curve shifts, but the quantity of loanable funds supplied increases and the quantity demanded decreases as the interest rate rises to equilibrium.the supply for loanable funds shifts right and the demand shifts left.the supply for loanable funds shifts left and the demand shifts right.neither curve shifts, but the quantity of loanable funds supplied decreases and the quantity demanded increases as the interest rate falls to equilibrium.

All other things being equal, a decrease in the demand for loanable funds:Group of answer choicesmight not have any effect on the interest rate.results from an increase in business circumstances and a decrease in the level of savings.drives the interest rate down.drives the interest rate up.

The equilibrium interest rate is determinedmultiple choiceto fluctuate over time.at the intersection of the total demand for money curve and the supply of money curve.at the intersection of the aggregate demand and aggregate supply curve.by the Fed

Changes in interest rates, all else held constant, cause a shift in _____. either the investment demand curve or the aggregate demand curve the investment demand curve, but not the aggregate demand curve the investment demand curve and the aggregate demand curve the aggregate demand curve, but not the investment demand curve

If there is an increase in the demand for financial capital in the loanable funds market, the interest rates would rise, and the quantity of financial capital exchanged would increase.Question 6Answera.True.b.False