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MMLU / An increase in corporate optimism will have which of the following effects in…

Problem

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question

An increase in corporate optimism will have which of the following effects in the market for loanable funds?

choices

  1. An increase in supply lowering the interest rate.
  2. A decrease in demand increasing the interest rate.
  3. An increase in both supply and demand and an ambiguous change in interest rates.
  4. An increase in demand increasing the interest rate.

subject

high_school_macroeconomics

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Official source

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