Question: Explain why the U.S. saving rate might have increased and its effect on the supply of loanable funds. The U.S. saving rate increased from 0.1

Explain why the U.S. saving rate might have increased and its effect on the supply of loanable funds.

The U.S. saving rate increased from –0.1 percent in 2011 to 2.0 percent in 2012 to 2.4 percent in 2013, to 2.9 percent in 2014, and to 3.0 percent in 2015.

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