If total saving increases,
A) the real interest rate will decrease and investment spending will increase.
B) the real interest rate will decrease and investment spending will decrease.
C) the real interest rate will increase and investment spending will decrease.
D) the real interest rate will increase and investment spending will increase.
Correct Answer:
Verified
Q8: People lend money because they
A) have no
Q9: Businesses borrow money because they
A) have no
Q10: The market in which the real interest
Q11: In the model developed in the text,
Q12: The price of loanable funds is
A) the
Q14: The circular flow principle guarantees that in
Q15: The equilibrium condition in the financial markets
Q16: The equilibrium condition in the financial markets
Q17: The negative of net exports represents
A) the
Q18: If net exports are less than zero,
A)
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