Question: 13. 1 Explain the loanable funds theory. Draw the basic graph with clear labels, 2) Ceteris paribus, how would an increase (decrease) in the supply

 13. 1 Explain the loanable funds theory. Draw the basic graph

13. 1 Explain the loanable funds theory. Draw the basic graph with clear labels, 2) Ceteris paribus, how would an increase (decrease) in the supply of loanable funds affect the equilibrium interest rate, and how would an increase (decrease) in the demand for loanable funds affect the equilibrium interest rate? Please draw two separate graphs to assist your explanations

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