Use the Following to Answer Questions

question 200

Multiple Choice

Use the following to answer questions:
-(Figure: Loanable Funds) Use Figure: Loanable Funds. Which scenario might produce a new equilibrium interest rate of 4% and a new equilibrium quantity of loanable funds of $75 billion?

• A) Profit expectations for business investments become less optimistic.
• B) Capital inflows from foreign citizens decline.
• C) The federal government runs a budget deficit, rather than a surplus.
• D) The government eliminates taxes on income from interest earned.

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Social Responsibility

The ethical framework suggesting that individuals and organizations have an obligation to act for the benefit of society at large, balancing economic growth with the welfare of environmental and social ecosystems.

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