3. In cases below, answer questions below. 3.a. People’s preference for saving increased (so people would save more.) Which curve (demand or supply) would shift to which direction (left or right)? How would investment change: Decrease or Increase? Curve: Direction: Change in investment: 3.b. Prospect for profit from investments increased. How would the equilibrium quantity of loanable fund change: Decrease or Increase? How would the equilibrium interest rate change: Decrease or Increase? How would the saving would change: Decrease or Increase? Quantity: Interest rate: Change in saving

Q: 1. Explain the difference between public & private saving.

A: "Since you have asked multiple questions, we will solve first question for you .. If you want any…

Q: 25) Use a saving—investment diagram to explain what happens to saving, investment, and the real…

A: “Since you have posted multiple questions, we will provide the solution only to the first question…

Q: Which of the following situations represents investment? Saving? Explain Your family takes out a…

A: The situation that represents investment or savings are as follows :

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A: Behavioral optimism refers to the positive attitude of gaining positive outcome from the investment…

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A: The famous show on T.V which inspire public to save (s) more , will result into a rise in savings in…

Q: 10. Work It Out. Consider an economy described as follows: Y = C+I+G Y = G = T = C = I = 1,200 100…

A: First, let's define the variables:Y is national income, which is 8,000.G is government spending,…

Q: an increase in the expected real interest rate tends to raise desired saving, but lower desired…

A: The change in the expected real interest rate affects the level of saving and investment in the…

Q: A decrease in the interest rate would a. shift investment demand left b. lead to a downward…

A: Equilibrium rate of interest is where the demand curve for investment intersects the total supply…

Q: n the standard loanable funds market graph, …   …an increase in the supply of loanable funds…

A: When the supply curve shift to the right, then it reflects that the savings have increased at each…

Q: 6. Tax systems and saving This question addresses the impact of saving on an economy by examining…

A: In First blank    Decreases Second blank   More Third blank      Substitute Fourth blank   Income…

Q: Consider the market for loanable fund. Suppose that government started to give tax incentives for…

A: Answer: If the government started to give tax incentives for investment then the cost of investment…

Q: Scenario 1: Individual Retirement Accounts (IRAS) allow people to shelter some of their income from…

A: There are various factors that affect the demand and supply of loanable funds.