Figure 32-1

-Refer to Figure 32-1.In the Figure shown,if the real interest rate is 3 percent,the quantity of loanable funds demanded is
A)$10 billion, and the quantity supplied is 20.
B)$10 billion, and the quantity supplied is 30.
C)$30 billion, and the quantity supplied is 10.
D)$30 billion, and the quantity supplied is 20.

Question

Figure 32-1
 
-Refer to Figure 32-1.In the Figure shown,if the real interest rate is 3 percent,the quantity of loanable funds demanded is
A)$10 billion, and the quantity supplied is 20. 
B)$10 billion, and the quantity supplied is 30. 
C)$30 billion, and the quantity supplied is 10. 
D)$30 billion, and the quantity supplied is 20.

Quizplus · Accepted Answer

At a real interest rate of 3 percent, the quantity of loanable funds supplied is 30. The quantity of loanable funds demanded is equal to the quantity of loanable funds supplied, so the correct answer is B.

Figure 32-1 -Refer to Figure 32-1.In the Figure Shown,if the Real Interest