If the government budget surplus is $200 billion, and there is no Ricardo-Barro effect, the equilibrium real interest rate is ________ and the equilibrium quantity of loanable funds is ________.
A) 8 percent; $700 billion
B) 4 percent; $700 billion
C) 4 percent; $500 billion
D) 8 percent, $500 billion
E) 6 percent; $600 billion