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solve all 3 with clear explanation needed 17. Suppose Intel is considering building a new chip-making factory. Would Intel compare the expected rate of return

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solve all 3 with clear explanation needed

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17. Suppose Intel is considering building a new chip-making factory. Would Intel compare the expected rate of return on the factory to the bond market interest rate when deciding whether to build the factory? If Intel needs to borrow money in the bond market, how might the bond interest rate affect Intel's decision whether to build the factory? If Intel has enough of its own funds to finance the new factory without borrowing, would the bond interest rate affect their decision whether to build the factory? In the summer of 2010, Congress passed a far-reaching financial reform bill to attempt to prevent another financial crisis like the one that happened in 2008-2009. We will consider two scenarios related to this bill. 18. In the first scenario, suppose that by requiring firms to comply with strict regulations, the bill increases the cost of investment. Draw a graph showing the consequences of this scenario on the market for loanable funds. What is the result? 19. Now consider the second scenario: Suppose that by requiring firms to comply with strict regulations, the bill increases confidence that savers have with the financial system, making them more likely to save their money there. Draw a graph showing the consequences of this scenario on the market for loanable funds. In this scenario, which curve shifts, and what are the results

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