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

question 159

Multiple Choice

-In the above figure, the initial supply of loanable funds curve is SLF₀ and the demand for loanable funds investment curve is DLF₀. An increase in the real interest rate to 7 percent could be caused by

• A) an increase in investment demand.
• B) an expansion that increased both saving and investment by the same amount.
• C) a decrease in the expected profit.
• D) an increase in peopleʹs disposable incomes.

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Definitions:

Diversity

The presence of differences within a given setting, including differences in race, ethnicity, gender, age, sexual orientation, and more, contributing to a richer, more varied environment.

Culture

A system of shared beliefs, values, customs, behaviors, and artifacts that the members of a society use to cope with their world and with one another.

Group Polarization

The tendency for group discussion to produce shifts toward more extreme attitudes among members.

Participation

The active involvement of individuals or groups in making decisions or taking actions within an organization, community, or process, often aimed at encouraging ownership and commitment.