Question
Consider the market for loanable funds. Suppose the demand for loans is given be i=9-Q+, and the supply of loans is given by i=Q/2+, where
Consider the market for loanable funds. Suppose the demand for loans is given be i=9-Q+, and the supply of loans is given by i=Q/2+, where represents inflation. In the case of =3, what is the equilibrium quantity of loans and what is the corresponding interest rate?
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Macroeconomics
Authors: Stephen d. Williamson
5th Canadian edition
133847144, 9780134604794 , 978-0133847147
