Respuesta :
Increases in huge investments and investment taxes raise interest rates. increases savings and lowers investor optimism, which lowers the interest rate.
How will a rise in interest rates affect the amount of loanable money?
According to the borrower's perspective, as interest rates increase, borrowers' costs increase and they become less likely to borrow (the source of demand in the loanable funds framework). When a result, less money is needed as interest rates climb.
Which of the following would result in a left shift in the supply of loanable funds?
The supply of loanable funds curve will move to the left compared to its original position as a result of negative KI inflows. When a nation experiences a trade surplus, we can anticipate that the equilibrium interest rate would rise and the equilibrium level of private investment will drop.
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