Author Question: How does an increase in expected profit affect investment demand and the demand for loanable funds ... (Read 125 times)

ssal

  • Hero Member
  • *****
  • Posts: 572
How does an increase in expected profit affect investment demand and the demand for loanable funds curve?
 
  What will be an ideal response?

Question 2

Taxes can adversely affect free exchange.
 
  Indicate whether the statement is true or false



fraziera112

  • Sr. Member
  • ****
  • Posts: 356
Answer to Question 1

An increase in expected profit increases investment and shifts the demand for loanable funds curve rightward.

Answer to Question 2

TRUE



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Giardia is one of the most common intestinal parasites worldwide, and infects up to 20% of the world population, mostly in poorer countries with inadequate sanitation. Infections are most common in children, though chronic Giardia is more common in adults.

Did you know?

Not getting enough sleep can greatly weaken the immune system. Lack of sleep makes you more likely to catch a cold, or more difficult to fight off an infection.

Did you know?

Fewer than 10% of babies are born on their exact due dates, 50% are born within 1 week of the due date, and 90% are born within 2 weeks of the date.

Did you know?

When blood is exposed to air, it clots. Heparin allows the blood to come in direct contact with air without clotting.

Did you know?

Many of the drugs used by neuroscientists are derived from toxic plants and venomous animals (such as snakes, spiders, snails, and puffer fish).

For a complete list of videos, visit our video library