If consumers decide to be more frugal and save more out of their income, then this will cause

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When consumers decide to save more, it increases the amount of funds available for lending, which is represented by a rightward shift in the supply curve for loanable funds. This is because the supply of loanable funds is essentially the amount of money people are willing to lend out, and an increase in savings directly increases this supply.

If Consumers Decide to Be More Frugal and Save More