Dollars per year A Early life Prime earning Later life years Which part of the accompanying graph depicts saving? Dollars per year A Early life Prime earning Later life D D 27. years What does curve B represent? 0 savings consumption I] D 28. Which event could be expected to shift a nation's demand for loanable funds, as shown in th accompanying graph? Interest rate Investment an increase in the investor condence 0 a decrease in productivity of capital 0 an increase in consumer wealth O a decrease in time preferences 0 a rise in the number of workers in their prime earning years [:l D 29. Which event could be expected to shift a nation's demand for loanable funds, as shown in th accompanying graph? Interest rate Investment 0 an increase in investor condence a decrease in productivity of capital 0 a decrease in consumer wealth 0 an increase in time preferences 0 an increase in the birth rate [:l D 18. Suppose that interest rates decrease from 4% to 2%. In the short run, one can expect output the United States to _ and the price level to O increase;increase 0 decrease; decrease 0 decrease; increase O increase; decrease 0 remain unchanged; remain unchanged [:l D 19. What is on the vertical and horizontal axes of the aggregate demandaggregate supply (AD- model? O The price level is on the horizontal axis and the real gross domestic product (GDP) is on the vertical axi O The nominal GDP is on the horizontal axis and the real GDP is on the vertical axis. O The real GDP is on the horizontal axis and the price level is on the vertical axis. 0 The nominal price level is on the horizontal axis and the real GDP is on the vertical axis. 0 The nominal GDP is on the horizontal axis and the real GDP is on the vertical axis E] D 15. Suppose housing values fall during a recession. In the short run, 0 the price level will fall as we move down the aggregate demand (AD) curve. 0 the price level will fall as the AD curve shifts left. 0 SRAS will decrease and the price level will fall. 0 SRAS will increase because wages will fall. 0 AD will increase because the demand for houses will increase