The table sets out the data for an economy when the government's budget is balanced.

If the government's budget becomes a deficit of $$2\mathrm{.}0$ billion and the Ricardo$-$Barro effect occurs, what are the real interest rate and investment?

If the Ricardo$-$Barro effect occurs, and if the government's budget becomes a deficit of $$2\mathrm{.}0$ billion, the real interest rate is

$$ percent a year and the quantity of investment is $ billion.

$q,$ Answer to $1$ decimal place.

There $$ crowding out in this situation because

A$.$ is; investment is $$6\mathrm{.}5$ billion but private saving is $$8\mathrm{.}5$ billion, which means that investment is decreased by the amount of the government deficit

B$.$ is no; the government budget deficit does not influence the real interest rate.

$\backslash$table$[[\backslash$table$[[$Real$],[$interest rate$],[($percent$],[$per year$)]],\backslash$table$[[$Loanable funds$],[$demanded$]],\backslash$table$[[$Loanable funds$],[$supplied$]]],[4,($billions of $2012$ dollars$),],[5,8\mathrm{.}5,4\mathrm{.}5],[6,8\mathrm{.}0,5\mathrm{.}0],[7,7\mathrm{.}5,5\mathrm{.}5],[8,7\mathrm{.}0,6\mathrm{.}0],[9,6\mathrm{.}5,6\mathrm{.}5],[10,6\mathrm{.}0,7\mathrm{.}0]]$