Figure 13-1
-Refer to Figure 13-1. In the figure shown, if the real interest rate is 3 percent, what is the quantity of loanable funds demanded?
A) $3000
B) $5000
C) $7000
D) $10000

Question

Figure 13-1 
-Refer to Figure 13-1. In the figure shown, if the real interest rate is 3 percent, what is the quantity of loanable funds demanded?
A) $3000 
B) $5000 
C) $7000 
D) $10000

Quizplus · Accepted Answer

At a real interest rate of 3 percent, the quantity of loanable funds demanded is where the vertical axis intersects the demand curve. This point is at $7000 in the figure.

Figure 13-1 -Refer to Figure 13-1. in the Figure Shown, If the Shown