Refer to the following graph to answer the next three questions.Interestrate$50billionS5%4%D2D₁$125 $150Savings, investment,government borrowing(billions of dollars)According to the graph, the amount of private investment aftergovernment borrowing isbillion.$100$25$200O $175$150 Refer to the following graph to answer the next three questions.Interestrate$50billionS5%4%D2D₁$125 $150Savings, investment,government borrowing(billions of dollars)According to the graph, the amount of private savings aftergovernment borrowing shifts the demand for loanable funds is$25 billion.$50 billion.$175 billion.$150 billion.$200 billion.

The questions are based on the loanable funds market idea, which depicts the link between saver…

Answered: According to the graph, the amount of…

According to the graph, the amount of private investment after government borrowing is $100 ○ $25 $200 O $175 $150 billion.

ECON MACRO

5th Edition

ISBN:9781337000529

Author:William A. McEachern

Publisher:William A. McEachern

Chapter12: Federal Budgets And Public Policy

Section: Chapter Questions

Problem 3.6P

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