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As the Economy Enters an Expansion So That People's Expected

Question 96

Multiple Choice

As the economy enters an expansion so that people's expected future incomes rise,there will be


A) a leftward shift in the demand for loanable funds curve.
B) a leftward shift in the supply of loanable funds curve.
C) a decrease in the nominal interest rate.
D) an increase in the supply of loanable funds.
E) None of the above answers is correct.

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