In the figure above, the shift in the supply of loanable funds ...

[melina_rosy]

In the figure above, the shift in the supply of loanable funds curve from SLF1 to SLF2 could be the result of
 
  A) an increase in expected rate of profit.
  B) a decrease in disposable income.
  C) an increase in expected future disposable income.
  D) an increase in the real interest rate.
  E) a decrease in wealth

Question 2

Suppose an economy has no income taxes or imports. If the MPC is 0.75, what does the expenditure multiplier equal?
 
  What will be an ideal response?

[ansleighelindsey]

Answer to Question 1

E

Answer to Question 2

The expenditure multiplier equals , so in this case it equals = = 4.0.

[melina_rosy]

Great answer, keep it coming

[ryhom]

Thanks for the timely response, appreciate it