joneil4885 joneil4885

28-08-2019
Business

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If you consider the Loanable Funds Theory, does the current interest rate make sense when you consider things such as the national debt, budget deficit, among others?

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kbbirkhold kbbirkhold

28-08-2019

Answer: here is my best answer i can give

Explanation:

The equilibrium interest rate is determined in the loanable funds market. All lenders and borrowers of loanable funds are participants in the loanable funds market. ... The supply curve for loanable funds is upward sloping, indicating that at higher interest rates lenders are willing to lend more funds to investors.

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