In 2008, Australia had a government budget surplus of $21.7 billion. This budget surplus shifts the demand for loanable funds curve
A) rightward and creates a crowding-out effect.
B) leftward and lowers the real interest rate.
C) leftward and creates a crowding-out effect.
D) rightward and creates a Ricardo-Barro effect.
Correct Answer:
Verified
Q202: How does the real interest affect households'
Q203: "An increase in the real interest rate
Q204: What are the factors that change investment
Q204: In 2008, Germany had a budget deficit
Q209: Explain the relationship between the real interest
Q210: In 2007, Franceʹs exports totalled $490 billion
Q211: What is the relationship between the real
Q214: In 2008, the many people became unable
Q217: What is the influence of the expected
Q219: Does a change in the real interest
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents