The figure above shows the supply of loanable funds curve.
-If investment demand increases, the equilibrium real interest rate ________ and the equilibrium quantity of investment ________.
A) rises; increases
B) rises; decreases
C) falls; increases
D) falls; decreases
E) does not change; does not change
Correct Answer:
Verified
Q232: If the government runs a budget deficit
Q233: In the late 1990s, the U.S.federal government
Q234: Is wealth the same thing as income?
Q235: In the late 1990s, the U.S.federal government
Q236: Q238: If a firm wants to buy a Q239: In 2010, the U.S.federal government had a Q240: Define wealth.What is the relationship between wealth
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents