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g100num [7]
4 years ago
13

When consumers and businesses have greater confidence that they will be able to repay in the future, _______________________. Th

e quantity demanded of financial capital at any given interest rate will remain unchanged. The quantity demanded of financial capital at any given interest rate will shift to the left. The quantity demanded of financial capital at any given interest rate will shift to the right. The quantity demanded of financial capital at any given interest rate will achieve equilibrium?
Business
1 answer:
Aloiza [94]4 years ago
4 0

Answer: the quantity demanded of financial capital at any given interest rate will shift to the right.

Explanation: Demand for financial capital depends on the rate of interest in the financial market as well as only ability to pay of the borrower.  If the borrower is sure that they will be able to successfully repay the loan then they will demand more loans from the financial market.

Therefore, when consumers and businesses have greater confidence that they will be able to repay in the future, they will demand more loans and the the quantity demanded of financial capital at any given interest rate will shift to the right.

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