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If the current interest rate is below the equilibrium rate, the: A. supply of non-monetary financial assets is greater than the demand for them. B. demand for non-monetary financial assets is greater than the supply. C. Surplus of money will cause interest rates to rise. D. supply of money is greater than the demand. E. money market is in equilibrium.

Respuesta :

If the current interest rate is below the equilibrium rate, the supply of non-monetary financial assets is greater than the demand for them.

What does it mean when interest rate is below the equilibrium rate?

Interest rate can be described as the cost of borrowing. It is the cost of accessing funds. When interest rate is below the equilibrium rate, it means that there is less money in circulation. As a result, the supply of non-monetary financial assets is greater than the demand for them.

To learn more about interest rate, please check: https://brainly.com/question/26164549

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