Figure 26-4

question 448

Multiple Choice

Figure 26-4. On the horizontal axis of the graph, L represents the quantity of loanable funds in billions of dollars.
-Refer to Figure 26-4. Which of the following events could explain a shift of the demand-for-loanable-funds curve from D1 to D2?

• A) The tax code is reformed to encourage greater saving.
• B) The tax code is reformed to encourage greater investment.
• C) The government starts running a budget deficit.
• D) The government starts running a budget surplus.

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Definitions:

Fiber

Fiber is a type of carbohydrate found in plant foods that the body cannot digest, which is important for maintaining digestive health and preventing constipation.

Low Fat

A description for foods or diets that contain a reduced amount of fat content, often used for health reasons.

Myelin

The fatty substance that coats the axons, which speeds the transmission of electrical impulses and neurological function.

Age-related Hearing

The natural decline in auditory function associated with aging, leading to conditions such as presbycusis.