The table below shows data for the U.S.
$$\begin{array} { | l | l | l | }
\hline & \begin{array} { l }
\text { Nominal } \
\text { Interest Rate }
\end{array} & \text { Inflation Rate } \
\hline 2006 & 5.25 & 4 \
\hline 2007 & 5 & 2 \
\hline 2008 & 4.5 & 4.3 \
\hline
\end{array}$$
Between 2007 and 2008 the real interest rate and caused a the demand for loanable funds curve.
A) increased; movement up along.
B) increased; rightward shift.
C) decreased; movement down along.
D) decreased; leftward shift.

Question

The table below shows data for the U.S.
$$\begin{array} { | l | l | l | } 
\hline & \begin{array} { l } 
\text { Nominal } \
\text { Interest Rate }
\end{array} & \text { Inflation Rate } \
\hline 2006 & 5.25 & 4 \
\hline 2007 & 5 & 2 \
\hline 2008 & 4.5 & 4.3 \
\hline
\end{array}$$
Between 2007 and 2008 the real interest rate and caused a the demand for loanable funds curve.
A) increased; movement up along.
B) increased; rightward shift.
C) decreased; movement down along.
D) decreased; leftward shift.

Quizplus · Accepted Answer

The Answer of The table below shows data for the U.S.
$$\begin{array} { | l | l | l | } 
\hline & \begin{array} { l } 
\text { Nominal } \
\text { Interest Rate }
\end{array} & \text { Inflation Rate } \
\hline 2006 & 5.25 & 4 \
\hline 2007 & 5 & 2 \
\hline 2008 & 4.5 & 4.3 \
\hline
\end{array}$$
Between 2007 and 2008 the real interest rate and caused a the demand for loanable funds curve.
A) increased; movement up along.
B) increased; rightward shift.
C) decreased; movement down along.
D) decreased; leftward shift.

The Table Below Shows Data for the U Between 2007 and 2008 the Real Interest Rate and Caused