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I need help with questions 3aCan you tell me if I did this wrong 3. International example. The diagram is for the loanable funds market

I need help with questions 3aCan you tell me if I did this wrong

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3. International example. The diagram is for the loanable funds market in U.S. Assume the U.S. government budget is currently balanced. Real Int. Rate SLF domestic sources 8% 5% Loanable funds from world DLF 40 60 70 Q of Loanable Funds In billions a. If the U.S. allows international transactions in financial markets and the world real interest rate is 5%, what would be: Real interest rate in U.S.: Quantity of loanable funds supplied (by private savings) in U.S.: 40 Quantity of loanable funds demanded (for U.S. investment): 70 Will the U.S. borrow funds from or loan funds to the world? barrow funds How much will be the amount of funds? 30 Will the U.S. be running a current account deficit or surplus? deficit ccount deficit or surplus? 30

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