Figure 32-3
Refer to the following diagram of the open-economy macroeconomic model to answer the questions that follow.

Graph (a)
Graph (b) Graph (c)
-Refer to Figure 32-3. National saving is represented by the
A)demand curve in graph (a).
B)demand curve in graph (c).
C)supply curve in graph (a).
D)supply curve in graph (c).

Question

Figure 32-3
Refer to the following diagram of the open-economy macroeconomic model to answer the questions that follow.
​
Graph (a)
Graph (b)   Graph (c)  ​
-Refer to Figure 32-3. National saving is represented by the
A)demand curve in graph (a). 
B)demand curve in graph (c). 
C)supply curve in graph (a). 
D)supply curve in graph (c).

Quizplus · Accepted Answer

National saving is represented by the supply curve in graph (a) because it reflects the total amount of savings available in the economy for investment, which is supplied to the loanable funds market.

Figure 32-3 Refer to the Following Diagram of the Open-Economy Macroeconomic Model