Multiple Choice
What would happen in the market for loanable funds if the government were to decrease the tax rate on interest income?
A) The supply of and demand for loanable funds would shift right.
B) The supply of and demand for loanable funds would shift left.
C) The supply of loanable funds would shift right and the demand for loanable funds would shift left.
D) None of the above is correct.
Correct Answer:
Verified
Correct Answer:
Verified
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