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-Refer to Figure 9-5

Question 61

Multiple Choice

-Refer to Figure 9-5.An increase in the supply of loanable funds from S₁ to S₂ will,everything else equal, A) lower the interest rate to 6 percent and investment spending to $350 billion B) leave the interest rate and investment spending unchanged C) lower the interest rate to 6 percent and increase investment spending to $500 billion D) lower the interest rate to 6 percent and increase investment spending to $550 billion E) lower the interest rate to 6 percent and keep investment spending at $400 billion.
-Refer to Figure 9-5.An increase in the supply of loanable funds from S₁ to S₂ will,everything else equal,


A) lower the interest rate to 6 percent and investment spending to $350 billion
B) leave the interest rate and investment spending unchanged
C) lower the interest rate to 6 percent and increase investment spending to $500 billion
D) lower the interest rate to 6 percent and increase investment spending to $550 billion
E) lower the interest rate to 6 percent and keep investment spending at $400 billion.

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