« previous next »

Author Question: Ignoring the Ricardo-Barro effect, what impact does the government have in the loanable funds ... (Read 73 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?

Approximately 25% of all reported medication errors result from some kind of name confusion.

Did you know?

Your skin wrinkles if you stay in the bathtub a long time because the outermost layer of skin (which consists of dead keratin) swells when it absorbs water. It is tightly attached to the skin below it, so it compensates for the increased area by wrinkling. This happens to the hands and feet because they have the thickest layer of dead keratin cells.

Did you know?

Blood in the urine can be a sign of a kidney stone, glomerulonephritis, or other kidney problems.

Did you know?

When Gabriel Fahrenheit invented the first mercury thermometer, he called "zero degrees" the lowest temperature he was able to attain with a mixture of ice and salt. For the upper point of his scale, he used 96°, which he measured as normal human body temperature (we know it to be 98.6° today because of more accurate thermometers).

Did you know?

When taking monoamine oxidase inhibitors, people should avoid a variety of foods, which include alcoholic beverages, bean curd, broad (fava) bean pods, cheese, fish, ginseng, protein extracts, meat, sauerkraut, shrimp paste, soups, and yeast.

Effect of predator on prey populations. Effect of predator on prey populations.
Effect of pH on oxygen binding to hemoglobin Effect of pH on oxygen binding to hemoglobin
Doppler effect Doppler effect
Growth of Government Spending, 1870–2009 Growth of Government Spending, 1870–2009
The effect of disruptive selection on bristle number in Drosophila The effect of disruptive selection on bristle number in Drosophila
The Effect of Multiple Contributing Genes on Phenotypic Variation The Effect of Multiple Contributing Genes on Phenotypic Variation
Video: Role of the urinary system - acidosis and alkalosis

For a complete list of videos, visit our video library