Ask Question
24 January, 12:08

The slope of the demand for loanable funds curve represents the Group of answer choices positive relation between the real interest rate and investment. negative relation between the real interest rate and saving. positive relation between the real interest rate and saving. negative relation between the real interest rate and investment.

+2
Answers (1)
  1. 24 January, 14:48
    0
    negative relation between the real interest rate and investment.

    Explanation:

    Loanable funds can be defined as the total income that are being saved and lend out, other than personal use or as consumption.

    Also, it's the total amount investors chooses to borrow to fund their projects.

    The slope of the demand for loanable funds curve represents the negative relation between the real interest rate and investment.

    This slope of the demand for loanable funds usually slopes downward.

    The equilibrium interest rate and quantity of loanable funds falls, when the demand for loanable funds shifts to the left.
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “The slope of the demand for loanable funds curve represents the Group of answer choices positive relation between the real interest rate ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers