A. zero demand of funds
B. equilibrium demands of funds
C. higher demand of funds
D. lower demand of funds
Related Mcqs:
- According to loanable funding theory, the net suppliers of funds are ____________?
A. insurance companies
B. government
C. corporations
D. households - When interest rate is lower than equilibrium rate of borrowing loanable funds, then the financial system has _________?
A. surplus of funds
B. deficit of funds
C. short-term funds
D. long-term funds - When interest rate is higher than equilibrium rate of borrowing loanable funds then the financial system has __________?
A. short-term funds
B. long-term funds
C. surplus of funds
D. deficit of funds - To create the situation with no shortage of funds, the relationship between funds supplied and the funds demanded must have __________?
A. Two way relationship
B. One way relationship
C. direct relationship
D. inverse relationship - If the demand of loanable demands increases then the borrowing cost of funds is ___________?
A. higher
B. zero
C. upside
D. lower - If the demand of loanable demands decrease then the borrowing cost of funds is ________?
A. upside
B. lower
C. higher
D. zero - The interest rate equilibrium is increased and the supply curve of funds shifts to the left or upward is the result of ____________?
A. increase in future value
B. decrease in future value
C. increase in total wealth
D. decrease in total wealth - The interest rate equilibrium is decreased and the supply curve of funds shift to the right is the result of ___________?
A. increase in total wealth
B. decrease in total wealth
C. increase in future value
D. decrease in future value - If the equilibrium interest rate decreases with respect to decrease in interest rate, then the movement along the supply of funds curve is __________?
A. upside movement
B. downside movement
C. shift left
D. shift right - If the equilibrium interest rate increases with respect to increase in interest rate, then the movement along the supply of funds curve show a/an __________?
A. shift left
B. shift right
C. upside movement
D. downside movement
