11 If the government budget becomes a deficit of 100 billion, what are the real interest rate,...
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11 If the government budget becomes a deficit of €100 billion, what are the real interest rate, the quantity of loanable funds, investment and private saving? Does any crowding out occur?
use the table and the information that the quantity of loanable funds demanded increases by €100 billion at each real interest rate and the quantity of loanable funds supplied increases by €200 billion at each interest rate.
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Related Book For
Economics
ISBN: 9781118150122
10th European Edition
Authors: Michael Parkin, Dr Melanie Powell, Prof Kent Matthews
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