Refer to Figure 21-6. The market is in equilibrium. If the government budget deficit rises, which of the following would you expect to see?
A) The quantity of loanable funds demanded by firms will fall below $120 million.
B) The interest rate will fall below 4 percent.
C) The quantity of loanable funds demanded by firms will rise above $120 million.
D) The budget deficit will have no impact on the quantity of loanable funds demanded by firms.
A
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The price of one bedroom apartments in Cheyenne increased from $55,000 to $65,000 and the quantity of apartment for sale increased from 25 to 30. Using the midpoint method, the price elasticity of supply for apartments in Cheyenne is equal to
A) 0.916. B) 0.75. C) 1.09. D) 2.18. E) 0.08.
Which of the following is the least accurate?
a. European nations purchased large quantities of munitions and food at ever-rising prices form the U.S. b. The financial center of the world shifted from New York before the war to London and Paris after the war. c. The gap between Europe's imports from the U.S. and exports to the US rose dramatically. d. The war was immensely profitable for many U.S. corporations.
The amount of autonomous consumption in an economy is measured by the:
a. the intercept of the consumption function when disposable income is positive. b. the intercept of the consumption function where actual consumption is above the 45-degree line. c. the intercept of the consumption function when disposable income is zero. d. the intercept of the consumption function where actual consumption is below the 45-degree line. e. the intercept of the consumption function when disposable income is negative.
The wage for a particular occupation will be relatively low if supply is small relative to demand.
Answer the following statement true (T) or false (F)