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    Macroeconomics Principles Study Set 1
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    Exam 11: Saving, Investment, and the Financial System
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    The Supply Curve for Loanable Funds Slopes the Way It
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The Supply Curve for Loanable Funds Slopes the Way It

Question 122

Question 122

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The supply curve for loanable funds slopes the way it does because if interest rates are low, fewer projects will have a rate of return high enough to justify the investment.

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