Multiple Choice
Suppose a country repeals its investment tax credit. What is most likely to happen in the market for loanable funds?
A) The demand for and the supply of loanable funds would shift to the right.
B) The demand for and the supply of loanable funds would shift to the left.
C) The supply of loanable funds would shift to the right, and the demand for loanable funds would shift to the left.
D) The supply of loanable funds would remain unchanged, and the demand for loanable funds would shift to the left.
Correct Answer:
Verified
Correct Answer:
Verified
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