The Interest Rate Will _____ and the Quantity of Loanable

question 76

Short Answer

The interest rate will _____ and the quantity of loanable funds invested will _____ when the government decreases the budget deficit.

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Definitions:

Ligament

Strap of dense connective tissue that holds bones together at a joint.

Connective Tissue

Animal tissue with an extensive extracellular matrix; provides structural and functional support.

Cartilage

Connective tissue that consists of cells surrounded by a rubbery matrix.

Spongy Bone Tissue

A type of bone tissue found at the ends of bones and in the interior of vertebrae, characterized by a porous, honeycomb structure that is lighter and less dense than compact bone.