If the government offers an incentive for individuals to save, the supply for loanable funds will shift to the _____ and the real interest rate will _____.

Name: If the government offers an incentive for individuals to save, the supply for loanable funds will shift to the _____ and the real interest rate will _____.
Brand: Quizplus
Rating: 4.8 (45 reviews)

Question

Quizplus · Accepted Answer

An incentive to save increases the supply of loanable funds, shifting it to the right, which typically leads to a decrease in the real interest rate.

If the Government Offers an Incentive for Individuals to Save