Suppose that Congress passes an investment tax credit. The likely result will be
A) the supply curve for bonds will shift to the right.
B) the demand curve for loanable funds will shift to the left.
C) the supply curve for loanable funds will shift to the left.
D) the equilibrium interest rate will fall.
Correct Answer:
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Q42: During the last several decades, the government
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Q45: The Federal Reserve issues a report indicating
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Q50: Businesses typically issue bonds to finance
A)their inventories.
B)payments
Q51: Investors value liquidity in an asset because
A)liquid
Q52: The demand curve for bonds would be
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