What would happen in the market for loanable funds if the government were to decrease the tax rate on
interest income
nothing
formula to find national saving
y-c-g
formula to find private saving
y-t-c
formula to find public savings
t-g
Suppose a country repealed its investment tax credit. The effects of this are represented by shifting the
nothing
an increase in investment spending causes the real interest to
increase
f Congress increased the tax rate on interest income, investment
and savings
would decrease
f the government institutes policies that diminish incentives to save, then in the loanable funds market
supply would shift left
A budget deficit
changes the supply
what would xplain a decrease in interest rates together with an increase in
investment
the goverment reduced the tax rate on savings