Figure 14-6

-Refer to Figure 14-6.The loanable funds market is given in the figure above.If the current real interest rate is 5 percent,which of the following is true?
A) The loanable funds market is in equilibrium.
B) There is a surplus of loanable funds in the market.
C) There is a shortage of loanable funds in the market.
D) The quantity of loanable funds being demanded in the market is less than $90 million.
Correct Answer:
Verified
Q141: The budget deficit is defined as
A)T -
Q143: An increase in public saving has what
Q144: A decrease in the real interest rate
Q145: The demand for loanable funds has a
Q149: Because _ in the government budget deficit
Q150: An increase in the real interest rate
Q154: An increase in the real interest rate
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