Question: Assume there is an increase in business confidence. Use the market for loanable funds in a closed economy, to fully explain the impact on each

Assume there is an increase in business confidence. Use the market for loanable funds in a closed economy, to fully explain the impact on each of the following:

  • Supply of loanable funds curve
  • Demand for loanable funds curve
  • Private savings
  • Public savings
  • National savings

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To address this question lets explore how an increase in business confidence affects the market for loanable funds in a closed economy This requires analyzing the changes in supply and demand for loan... View full answer

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