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-In the Above Figure, the Initial Supply of Loanable Funds

Question 25

Multiple Choice

-In the above figure, the initial supply of loanable funds curve is SLF? and the initial demand for loanable funds curve is DLF?. An increase in the expected profit would A) only shift the supply of loanable funds curve rightward to a curve such as SLF?. B) shift the supply of loanable funds curve rightward to a curve such as SLF?, and shift the demand for loanable funds curve rightward to a curve such as DLF?. C) only shift the demand for loanable funds curve rightward to a curve such as DLF?. D) have no effect on either the demand for loanable funds curve or the supply of loanable funds curve.
-In the above figure, the initial supply of loanable funds curve is SLF? and the initial demand for loanable funds curve is DLF?. An increase in the expected profit would


A) only shift the supply of loanable funds curve rightward to a curve such as SLF?.
B) shift the supply of loanable funds curve rightward to a curve such as SLF?, and shift the demand for loanable funds curve rightward to a curve such as DLF?.
C) only shift the demand for loanable funds curve rightward to a curve such as DLF?.
D) have no effect on either the demand for loanable funds curve or the supply of loanable funds curve.

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