(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

---

Definitions:

Withdrawal Reflexes

Automatic, quick responses of the body part to a painful stimulus, resulting in pulling away from the source of pain to prevent injury.

Polysynaptic

Involving multiple synapses between more than two neurons in a reflex or neural pathway.

Monosynaptic

Referring to a reflex arc that involves only one synapse between the sensory neuron and the motor neuron, resulting in a direct and immediate response.

Reflex Arcs

The neural pathway that mediates a reflex action, involving sensory neurons, interneurons, and motor neurons.