When the demand for loanable funds exceeds the supply of loanable funds, households want to save ______ than firms want to invest and the interest rate ______.
A) more; rises
B) more; falls
C) less; rises
D) less; falls
Correct Answer:
Verified
Q86: Private saving is:
A) income minus consumption minus
Q87: The supply and demand for loanable funds
Q88: In a closed economy, private saving equals:
A)
Q89: In equilibrium, total investment equals:
A) private saving.
B)
Q90: In a closed economy, Y - C
Q92: In the classical model with fixed income,
Q93: The supply of loanable funds is equivalent
Q94: If saving exceeds investment demand, and consumption
Q95: In the classical model with fixed income,
Q96: National saving is:
A) private saving.
B) public saving.
C)
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