The figure above shows the loanable funds market. The equilibrium real interest rate is ________, and the equilibrium quantity of loanable funds is ________
A) 4 percent; $1.5 trillion
B) 4 percent; $2.5 trillion
C) 6 percent; $2.0 trillion
D) 8 percent; $1.5 trillion
E) 0 percent; $3.5 trillion
C
Economics
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If a perfectly competitive firm's total revenue is less than its total variable cost, the firm
A) should continue to produce and increase its demand. B) should stop production by shutting down temporarily. C) should raise its price above its average variable cost. D) should adopt new technology in order to lower its costs of production.
Economics
In the Keynesian theory, an exogenous decrease in the demand for money shifts
a. the LM curve to the right. b. the LM curve to the left. c. the IS curve to the right. d. the IS curve to the left. e. neither the IS or LM curves.
Economics