Multiple Choice
How can a global savings glut affect the United States?
A) It can reduce the world real interest rate, thus encouraging borrowing by Americans.
B) It can increase the world real interest rate, thus encouraging saving by Americans.
C) It can reduce the supply of loanable funds for the United States.
D) It can reduce the demand for loanable funds for the United States.
Correct Answer:
Verified
Correct Answer:
Verified
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