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vichka [17]
3 years ago
14

Households and firms with savings lend money to banks and other financial institutions. The credit supply curve shows the relati

onship between the quantity of credit supplied and the real interest rate. The credit supply curve slopes upward because a​ _____
Business
1 answer:
Varvara68 [4.7K]3 years ago
8 0

Answer:

B and C only.

Explanation:

The options of this question wasn't provided. Here are the options:

A.

higher real interest rate induces more investment.

B.

higher real interest rate discourages current consumption.

C.

higher real interest rate encourages more saving.

D.

all of the above.

E.

B and C only.

It is assumed that households either spend disposable income on consumption or savings. If interest rate is high, it would encourage households to save instead of spending on consumption. The same argument extends to firms.

This explains why the credit supply curve is upward sloping or positively sloped, the higher the interest rate, the higher the savings rate and the higher the credit supply. Conversely, the lower the interest rate, the lower the savings rate and the lower the credit supply.

I hope my answer helps you

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List THREE common aptitudes, attitudes, and skills of personal care services workers.
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Culver Corporation’s adjusted trial balance contained the following asset accounts at December 31, 2017: Cash $8,220, Land $40,8
Dovator [93]

Answer:

See explanation Section

Explanation:

             Culver Corporation

 Balance Sheet (Current Asset only)

        As at December 31, 2017

Particulars                         $                         $

Cash                                                        $8,220                

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Less: Allowance for

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8 0
3 years ago
Because texas generally has low rates of –------ , individual effects on the texas political process are likely to be :______
ollegr [7]

Because texas generally has low rates of low, individual effects on the texas political process are likely to be: low

This is further explained below.

<h3>What is texas's political process?</h3>

Generally, The development of problems marks the beginning of the policymaking process in Texas, which then continues on through five additional stages: the establishment of agendas, the selection of policies, the adoption of policies, the implementation of policies, and the assessment of policies.

In conclusion, Individual influences on the political process in Texas are anticipated to be modest because of the state's relatively low crime rate and low rate of poverty.

Read more about the texas political process

brainly.com/question/27140282

#SPJ1

5 0
1 year ago
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