Use the Table Below to Answer the Following Question

Multiple Choice

Use the table below to answer the following question.
Table 23.3.1
Data from Northland

-Refer to Table 23.3.1. Table 23.3.1 shows the market for loanable funds in Northland. The government budget is balanced. If the government moves from a balanced budget to a surplus of $20 billion, the new equilibrium has a real interest rate of ________ percent and quantity of loanable funds traded equal to ________.

A) 6.5; $110 billion
B) 6.5; $90 billion
C) 5.5; $90 billion
D) 5.5; $110 billion
E) 6; $120 billion