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Author Question: Which of the following decreases the demand for loanable funds and shifts the demand for loanable ... (Read 118 times)

Haya94

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on: Jun 29, 2018
Which of the following decreases the demand for loanable funds and shifts the demand for loanable funds curve leftward?
 
  A) The real interest rate rises.
  B) The economy experiences a recession.
  C) Wealth decreases.
  D) Technology that increases productivity is introduced.
  E) An economy experiences a rapid increase in population.

Question 2

Which of the following events could result in the consumption function shifting from CF0 to CF2?
 
  A) an increase in disposable income
  B) an increase in expected future income
  C) a decrease in wealth
  D) a decrease in the real interest rate
  E) a decrease in disposable income
 
  The figure above shows two aggregate expenditure lines.


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aliotak

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Reply #1 on: Jun 29, 2018
Answer to Question 1

B

Answer to Question 2

C


Haya94

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Reply #2 on: Jun 29, 2018
Thank you


aliotak

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Reply #3 on: Jun 29, 2018
No problemo


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