Suppose the market for loanable funds is in equilibrium.What would happen in the market for loanable funds,other things the same,if the Congress and President increased the maximum contribution limits to 401(k) and 403(b) tax-deferred retirement accounts?
A) the interest rate and quantity of loanable funds would increase
B) the interest rate and quantity of loanable funds would decrease.
C) the interest rate would increase and the quantity of loanable funds would decrease.
D) the interest rate would decrease and the quantity of loanable funds would increase.
Correct Answer:
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Q18: Other things the same,an increase in the
Q19: If the supply for loanable funds shifts
Q20: If there is a shortage of loanable
Q21: If Congress increased the tax rate on
Q22: The real interest rate is the
A)interest rate
Q24: Which of the following could explain a
Q25: If the nominal interest rate is 3
Q26: Which of the following could explain an
Q27: What would happen in the market for
Q28: If the inflation rate is 2 percent
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