After reading the given descriptions, please place the correct label by the quadrant on the graph that best describes each person's position in the market for loanable funds.Jolien decides not to take out a loan to fund expanding her grocery store because she projects it will only earn a return of 4%4%.Osi closely follows the market for United States Treasury Bonds. He is willing to invest in them anytime the rate of return is 5%5% or higher, and sees that this is the case.In order to open a new car wash facility expected to return 13%13%, Julius secures a loan.John will shift his stock investments to corporate bonds when they return at least 10%10%. They do not, so he stays with stocks S8.0-Quantity of loanable funds (billions of dollars)Answer BankOsiJuliusJohnJolienInterest rate (%)

Person Jol demands loan in this case. The amount of loan demanded by her lies on the lower portion…

Answered: S 8.0- Quantity of loanable funds…

Economics Today and Tomorrow, Student Edition

1st Edition

ISBN:9780078747663

Author:McGraw-Hill

Publisher:McGraw-Hill

Chapter8: Business Organizations

Section8.2: Sole Proprietorships And Parternships

Problem 1R

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After reading the given descriptions, please place the correct label by the quadrant on the graph that best describes each person's position in the market for loanable funds.

Jolien decides not to take out a loan to fund expanding her grocery store because she projects it will only earn a return of 4%4%.
Osi closely follows the market for United States Treasury Bonds. He is willing to invest in them anytime the rate of return is 5%5% or higher, and sees that this is the case.
In order to open a new car wash facility expected to return 13%13%, Julius secures a loan.
John will shift his stock investments to corporate bonds when they return at least 10%10%. They do not, so he stays with stocks

S
8.0-
Quantity of loanable funds (billions of dollars)
Answer Bank
Osi
Julius
John
Jolien
Interest rate (%)

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