-In the above figure, a 4 percent interest rate results in
A) equilibrium.
B) too little investment demand.
C) borrowers bidding up interest rates.
D) a surplus of loanable funds.
Correct Answer:
Verified
Q167: Q168: Suppose the market for loanable funds is Q169: If the government has a budget deficit Q170: An increase in disposable income shifts the Q171: When government saving is negative, Q173: If the real interest rate is above Q174: If disposable income increases, people will decide Q175: When a government has a budget surplus,
A) investment increases.
B)
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