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5. Suppose that the government eliminates an investment tax credit, so that investors no longer receive a tax credit for investment purchases. (a) Assuming a
5. Suppose that the government eliminates an investment tax credit, so that investors no longer receive a tax credit for investment purchases. (a) Assuming a closed economy, use a supply and demand diagram to analyze this policy in the market for loanable funds. (b) Does the interest rate rise or fall? What happens to equilibrium saving
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