When the real interest rate falls or expected profit decreases, what happens to the demand for loanable funds?
A fall in the real interest rate ________ the demand for loanable funds curve, and a decrease in expected profit ________ the demand for loanable funds curve.

Question

When the real interest rate falls or expected profit decreases, what happens to the demand for loanable funds? 
 A fall in the real interest rate ________ the demand for loanable funds curve, and a decrease in expected profit ________ the demand for loanable funds curve.

Answer

shifts; creates a movement up along

Answer

creates a movement down along; doesn't change

Answer

shifts; doesn't change

Answer

creates a movement down along; shifts

Answer

creates a movement down along; creates a movement up along

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When the real interest rate falls or expected profit decreases, what happens to ...

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