Q.

Which of the following actions might you expect lenders to take during periods of variable and unpredictable inflation?

A. Reduce the amount of lending they are prepared to do.
B. Increase the average length of loans they are willing to make.
C. Increase the amount of lending they are prepared to do.
D. Reduce the average length of loans they are willing to make.
Answer» D. Reduce the average length of loans they are willing to make.
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