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-In the Above Figure, the Initial Supply of Loanable Funds

question 53

Multiple Choice

  -In the above figure, the initial supply of loanable funds curve is SLF<sub>0</sub><sub> </sub>and the initial demand for loanable funds curve is DLF<sub>0</sub>. An increase in the expected profit would A)  only shift the demand for loanable funds curve rightward to a curve such as DLF<sub>1</sub>. B)  only shift the supply of loanable funds curve rightward to a curve such as S LF<sub>1</sub>. C)  have no effect on either the demand for loanable funds curve or the supply of loanable funds curve. D)  shift the supply of loanable funds curve rightward to a curve such as SLF<sub>1</sub>, and shift the demand for loanable funds curve rightward to a curve such as DLF<sub>1</sub>.
-In the above figure, the initial supply of loanable funds curve is SLF0 and the initial demand for loanable funds curve is DLF0. An increase in the expected profit would


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