When the government increases its demand for loanable funds, it causes the:
A. demand for loanable funds curve to shift to the right.
B. supply of loanable funds curve to shift to the right.
C. demand for loanable funds curve to shift to the left.
D. supply of loanable funds curve to shift to the left.
Answer: A
You might also like to view...
Starting from long-run equilibrium, a large increase in government purchases will result in a(n) ________ gap in the short-run and ________ inflation and ________ output in the long-run.
A. expansionary; higher; potential B. recessionary; higher; potential C. recessionary; lower; lower D. expansionary; higher; higher
Private goods are those goods
A) that violate the principle of rival consumption. B) for which no public market exists. C) that can only be consumed by one individual at a time. D) to which the non-exclusion principle applies.
If a nation has a higher level of technology than another nation it means that they will be able to produce:
A. more outputs with the same inputs. B. less with the same amount of physical capital. C. more with no capital. D. the same output with the same level of inputs.
Private markets usually provide lighthouses because ship captains have the incentive to navigate using the lighthouse and therefore will pay for the service
a. True b. False Indicate whether the statement is true or false