Figure 26-2 The Figure Depicts a Supply-Of-Loanable-Funds Curve and Two Demand-For-Loanable-Funds Curves
Figure 26-2
The figure depicts a supply-of-loanable-funds curve and two demand-for-loanable-funds curves. 
-Refer to Figure 26-2. Which of the following events would shift the demand curve from D1 to D2?
A) The government goes from running a budget deficit to running a budget surplus.
B) Firms become optimistic about the future and, as a result, they plan to increase their purchases of new equipment and construction of new factories.
C) A change in the tax laws encourages people to consume less and save more.
D) A change in the tax laws encourages people to consume more and save less.
Correct Answer:
Verified
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The figure depicts a demand-for-loanable-funds curve
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The figure depicts a supply-of-loanable-funds curve
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