The Federal Reserve issues a report indicating that future inflation will increase from 2% to 3.5%. As a result the supply of bonds should shift right. the demand curve for bonds should shift right. the equilibrium interest rate should fall. the equilibrium price of bonds should rise. QUESTION 18 If the federal government were to offer larger tax breaks on the purchase of new equipment for businesses, all other factors constant, we would expect to see: the supply of loanable funds shift right. the demand for loanable funds shift left. the demand for loanable funds shift right. the supply of loanable funds shift left