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Hi there!) Here is my question: Draw a graph that shows what happens in the loanable funds (money market) when the money supply decreases and
Hi there!) Here is my question:
Draw a graph that shows what happens in the loanable funds (money market) when the money supply decreases and answer the following questions:
a. What happens to the amount of money being lent out?
b. What happens to interest rates?
c. What happens to stock prices?
[P.S. Please show all of your work, especially when you are using formulas and making calculations.
Thank you in advance!]
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