« previous next »

Author Question: Ignoring the Ricardo-Barro effect, what impact does the government have in the loanable funds ... (Read 21 times)

justinmsk

  • Hero Member
  • *****
  • Posts: 524
on: Jun 29, 2018
Ignoring the Ricardo-Barro effect, what impact does the government have in the loanable funds market?
 
  What will be an ideal response?

Question 2

An objective analysis of what is in the economy is referred to as
 
  A) positive economics.
  B) normative economics.
  C) command economics.
  D) implicit economics.


vickybb89

  • Sr. Member
  • ****
  • Posts: 347
Reply #1 on: Jun 29, 2018
Answer to Question 1

The government has two effects in the market for loanable funds. First, if the government has a budget surplus, it adds to private saving and increases the supply of loanable funds. Second, if a government has a budget deficit, it increases the demand for loanable funds.

Answer to Question 2

A


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Chronic necrotizing aspergillosis has a slowly progressive process that, unlike invasive aspergillosis, does not spread to other organ systems or the blood vessels. It most often affects middle-aged and elderly individuals, spreading to surrounding tissue in the lungs. The disease often does not respond to conventionally successful treatments, and requires individualized therapies in order to keep it from becoming life-threatening.

Did you know?

Anesthesia awareness is a potentially disturbing adverse effect wherein patients who have been paralyzed with muscle relaxants may awaken. They may be aware of their surroundings but unable to communicate or move. Neurologic monitoring equipment that helps to more closely check the patient's anesthesia stages is now available to avoid the occurrence of anesthesia awareness.

Did you know?

People with high total cholesterol have about two times the risk for heart disease as people with ideal levels.

Did you know?

In 1886, William Bates reported on the discovery of a substance produced by the adrenal gland that turned out to be epinephrine (adrenaline). In 1904, this drug was first artificially synthesized by Friedrich Stolz.

Did you know?

Multiple experimental evidences have confirmed that at the molecular level, cancer is caused by lesions in cellular DNA.

The Role of Microfilaments in Cell Movement-Showing Cause and Effect in Biology 2 The Role of Microfilaments in Cell Movement-Showing Cause and Effect in Biology 2
The Greenhouse Effect The Greenhouse Effect
The Impact of Reduction Campaigns on Sids Rates The Impact of Reduction Campaigns on Sids Rates
Hall-effect switches use metallic shutters to shunt magnetic lines of force away from a silicon ... Hall-effect switches use metallic shutters to shunt magnetic lines of force away from a silicon ...
A Hall-effect sensor produces a digital on-off voltage signal whether it is used with a blade or a ... A Hall-effect sensor produces a digital on-off voltage signal whether it is used with a blade or a ...
The impact of climate change on natural ecosystems The impact of climate change on natural ecosystems
Video: How to make cDNA Animation

For a complete list of videos, visit our video library