1.a) Explain the concept of demand curve for loanablefunds.

b)Explain the concept of supply curve for loanablefunds.

c)Explain the effect of increasing in government expenditure through selling of bonds on interest rate in classicalmodel.

2.Please use a graph to produce aggregate supply in classical model under the assumption of nominal wage or moneywage.

3.Explain the effect of increasing in money supply on price and national income using a classicaltheory.

4.Explain how interest rate is determined in a classicaltheory.