If the real interest rate is lower than the equilibrium real ...

[newbem]

If the real interest rate is lower than the equilibrium real interest rate:
 
  A) the quantity of credit demanded equals the quantity of credit supplied.
  B) the quantity of credit demanded falls short of the quantity of credit supplied.
  C) the quantity of credit supplied falls short of the quantity of credit demanded.
  D) interest rates tend to fall further.

Question 2

The asset demand for money is related to the function of money called
 
  A) medium of exchange. B) standard of deferred payment.
  C) store of value. D) unit of account.

[epscape]

Answer to Question 1

C

Answer to Question 2

C

[newbem]

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