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2. Demonstrate graphically and in words what the Loanable Funds Model would predict about the change in U.S. interest rates if the following headline appeared in the Wall Street Journal. "The National Realtors Association announced an unexpected drop in the average price of a home in the II S of 15% " 2. Demonstrate graphically and in words what the Loanable Funds Model would predict about the change in U.S. interest rates if the following headline appeared in the Wall Street Journal. "The National Realtors Association announced an unexpected drop in the average price of a home in the II S of 15%