Multiple Choice
Other things the same,if the government decreases transfer payments,then
A) both the interest rate and the equilibrium quantity of loanable funds fall.
B) both the interest rate and the equilibrium quantity of loanable funds rise.
C) the interest rate rises and the equilibrium quantity of loanable funds falls.
D) the interest rate falls and the equilibrium quantity of loanable funds rises.
Correct Answer:
Verified
Correct Answer:
Verified
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