this is the questions that go with this picture, it won't let me upload another. ___________(investment or saving) is the source of the demand for loanable funds. As interest rate falls, the quantity of loanable funds demanded _________(decreases or increases). Suppose the interest rate is 4.5%. Based on the previous graph, the quantity of loanable funds supplied is _______(greater or less) than the quantity of loans demanded, resulting in a _________(surplus or shortage) of loanable funds. This would encourage lenders to ________(raise or lower) the interest rates they charge, thereby _________(increasing or decreasing) the quantity of loanable funds supplied and _______(increasing or decreasing) the quantity of loanable funds demanded, moving the market toward the equilibrium interest rate of ________%.

The following graph shows the market for loanable funds in a closed economy. The upward-sloping orange line represents the supply of loanable funds, and the downward-sloping blue line represents the demand for loanable funds. CU Supply INTEREST RATE (Percent) Der-and 100 200 300 400 509 600 700 800 890 1060 LOANABLE FUNDS