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Passa Caglia Passa Caglia
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8 months ago

If the price for loanable funds is greater than the return on capital, then firms will



▸

borrow in the loanable funds market and invest in capital goods, and as this happens, the quantity of capital decreases and its return rises.



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borrow in the loanable funds market and invest in capital goods, and as this happens, the quantity of capital increases and its return falls.



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not borrow in the loanable funds market, and over time the capital stock will decrease and the return on capital will fall.



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not borrow in the loanable funds market, and over time the capital stock will decrease and the return on capital will rise.

Textbook 
Economics

Economics


Edition: 12th
Author:
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doquangnhatdoquangnhat
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8 months ago
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Passa Caglia Author
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8 months ago
Good timing, thanks!
sleinhi
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Yesterday
Correct Slight Smile TY
TAT1238
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2 hours ago
This helped my grade so much Perfect
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