What relationship is illustrated using the demand for loanable funds?
Choose 1 answer:
(A) Borrowers respond to a decrease in real interest rates by borrowing more money.
(B) Savers respond to an increase in interest rates by saving more money.
(c) Investors respond to an increase in interest rates by investing more money.
D Individuals respond to lower interest rates by increasing the amount of money they hold.
(E) The central bank responds to higher interest rates by supplying more money.
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