An increase in the real interest rate results in a A) ...

[Kthamas]

An increase in the real interest rate results in a
 
  A) rightward shift in the supply of loanable funds curve.
  B) leftward shift in the supply of loanable funds curve.
  C) movement along the supply of loanable funds curve.
  D) none of the above.

Question 2

Full employment corresponds to
 
  A) equilibrium in the labor market, with actual GDP being equal to potential GDP.
  B) labor demand being greater than labor supply and actual GDP being equal to potential GDP.
  C) being at the point where the marginal product of labor equals zero.
  D) equilibrium in the labor market, and actual GDP exceeding potential GDP.

[iceage]

Answer to Question 1

C

Answer to Question 2

A

[Kthamas]

Thanks for the timely response, appreciate it

[diana chang]

Gracias!