In the above figure, the slope across the arc between points a and b equals

A) 5.
B) 4.
C) 2.
D) 1.

C

Economics

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In the above figure, if the real interest rate is 4 percent, then there

A) there is a surplus of loanable funds. B) is equilibrium in the loanable funds market. C) the real interest rate will rise. D) the demand curve for loanable funds will shift rightward.

Economics

Suppose a country experiences an increase in its capital stock. Which curve(s) in the aggregate demand and aggregate supply model would be affected, and which way would it (they) shift?

Economics