Evaluate the effect of each of the following events on the market for loanable funds. Explain the effects of savings, investment, and the neutral real interest rate.

a. The government runs a government budget surplus instead of a deficit.

b. The government decides to forgive some of the $1.53 trillion in student loan debt.

c. Chinese investors stop sending funds to the United States, reducing net capital inflows.

d. The real nominal interest rate rises 1% in response to a 1% rise in the inflation rate.