Question: 1) If economic expansion is expected to decrease, the demand for loanable funds should ____ and interest rates should ____. increase; increase increase; decrease decrease;
1) If economic expansion is expected to decrease, the demand for loanable funds should ____ and interest rates should ____.
|
| increase; increase |
|
| increase; decrease |
|
| decrease; increase |
|
| decrease; decrease |
2) If the federal government reduces its budget deficit, this causes a(n) ____ in the supply of loanable funds and a(n) ____ in the demand for loanable funds.
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
