In the loanable funds model, an increase in an investment tax credit would create a a. shortage at the former equilibrium interest rate. This shortage would lead to a rise in the interest rate. b. shortage at the former equilibrium interest rate. This shortage would lead to a fall in the interest rate. c. surplus at the former equilibrium interest rate. This surplus would lead to a rise in the interest rate. d. surplus at the former equilibrium interest rate. This surplus would lead to a fall in the interest rate.
Answers (1)
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “In the loanable funds model, an increase in an investment tax credit would create a a. shortage at the former equilibrium interest rate. ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers
You Might be Interested in
Most of the public debt is owed to citizens and domestic institutions. This is one reason that the public debt:
A. Crowds out private investment
B. Does not impose a burden on future generations
C. Has a procyclical economic effect on the economy
D.
Answers (1)
Suppose that Third National Bank has reserves of $10,000 and checkable deposits of $100,000. The reserve ratio is 10 percent.
Answers (1)
In a single sentence, contrast microeconomics and macroeconomics. Next, categorize each of the following issues as a microeconomic issue, a macroeconomic issue, or not an economic issue. (See page 3.) a. The national unemployment rate b.
Answers (1)
Gaw Company owns 15% of the common stock of Trace Corporation and used the fair-value method to account for this investment. Trace reported net income of $110,000 for 2018 and paid dividends of $60,000 on October 1, 2018.
Answers (1)
What best describes the position of the U. S. budget, as of fiscal year 2010 (and true today as well), when all current spending and future entitlement obligations are taken into account?
Answers (1)
New Questions in Business
What is remittance advice note?
Answers (1)
Dartmouth College professor M. Eric Johnson, in collaboration with Tiversa, Inc., a company that monitors peer-to-peer networks to provide security services, wrote an article titled "Data Hemorrhages in the Health-Care Sector.
Answers (1)
Mr. Jackson purchases a home for $90,000. He paid $4,000 as an earnest money deposit, and is obtaining an 80% loan. Costs include $250 for title insurance, recording fees of $60, and a tax proration fee of $430. Mr.
Answers (1)
The composition of the Fingroup Fund portfolio is as follows: Stock Shares Price A 310,000 $ 35 B 410,000 40 C 510,000 15 D 710,000 20 The fund has not borrowed any funds, but its accrued management fee with the portfolio manager currently totals
Answers (1)
Why do companies using a horizontal structure have cultures that emphasize openness, employee empowerment, and responsibility? What do you think a manager's job would be like in a horizontally organized company?
Answers (1)