(Figure: Market for Loanable Funds 2) Based on the Graph

question 272

Multiple Choice

(Figure: Market for Loanable Funds 2) Based on the graph, if business taxes increase, the demand for loanable funds curve will shift from _____ to _____ and the new equilibrium will be at point _____, holding supply constant at S₀.

• A) D₀; D₁; c
• B) D₀; D₁; b
• C) D₁; D₀; a
• D) D₁; D₀; d

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Definitions:

Conditions

Specific circumstances or factors affecting the way in which people live or work, especially with regard to their safety or well-being.

Organizations

Structured groups of people who work together to achieve shared goals or fulfill a specific purpose.

Supervisors

Individuals who have the authority and responsibility to oversee and direct the work of others in a workplace setting.

Adjusting

The process of adapting or changing one’s behavior, thoughts, or attitudes to better suit new conditions or environments.