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Following the Loanable Funds theory. You are told the economy will slow down (decrease in economic activity). What would be the effect on supply, demand,

Following the Loanable Funds theory. You are told the economy will slow down (decrease in economic activity). What would be the effect on supply, demand, and interest rates? For each answer select either Unaffected, Increase, or Decrease.

  • The Supply of Money will ?
  • The Demand for Money will ?
  • Interest Rates will therefore ?

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