Now suppose their school opens up a market for loanable funds in which students can borrow and lend among themselves at a fixed interest rate r. What would determine whether a student would choose to be a borrower or a lender in this market? (Hint: Compare the student’s personal rate of return, call it r personal to the market interest rate r.) A student will lend money if ______________ rpersonal < r ______________________ A student will borrow money if _____________ rpersonal > r ____________________ 1