The above table has the private demand for loanable funds and the private supply of loanablefunds schedules.
- If the government budget surplus is $200 billion, and there is a Ricardo-Barro effect, the equilibrium real interest rate is-------------------- and the equilibrium quantity of loanable funds is --------------------.
A) 6 percent; $600 billion
B) 4 percent; $500 billion
C) 8 percent; $700 billion
D) 8 percent, $500 billion
E) 4 percent; $700 billion
Correct Answer:
Verified
Q6: Which of the following represents ownership of
Q7: In the loanable funds market, which of
Q8: If expectations about future income change, there
Q9: If the real interest rate
A)rises, the supply
Q10: Ford Motor Corporation is considering purchasing new
Q12: On January 1, Rick's Photo owned $50,000
Q13: The difference between the amount of capital
Q14: The demand for loanable funds
A)increases when wealth
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