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Figure: Market for Loanable Funds
-(Figure: Market for Loanable Funds) Equilibrium in this market for loanable funds occurs when the quantity of loanable funds is:
Market Price
The existing market rate for acquiring or selling a service or asset in the open market.
Subsidy
Financial assistance provided by the government or a public body to support businesses, reduce prices, or encourage a particular economic activity.
Supply Curve
A graphical representation showing the relationship between the price of a good and the quantity of the good that suppliers are willing to produce and sell.
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