SAVING, INVESTMENT, AND THE FINANCIAL SYSTEM TRUE OR FALSE 1. Public Saving is tax revenue that the government has left after paying for its spending. 2. A decrease in interest rate add the quantity supplied for money, and the money supply curve slopes upward. 3. If someone buy stock from a corporation, it's adds to the nation's saving rather than investment. 4. The term interest rate in loanable funds is talking about the rea (rather than nominal) interest rate. 5. The effect of a Government Budget Surplus resulting the supply curve for loanable funds would shift to the left, driving the equilibrium interest rate up.

Brief Principles of Macroeconomics (MindTap Course List)
8th Edition
ISBN:9781337091985
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter8: Savings,investment And The Financial System
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True or False Question (- If the answer is true, just write true - If the answer is false, explain why)
SAVING, INVESTMENT, AND THE FINANCIAL SYSTEM
TRUE OR FALSE
1. Public Saving is tax revenue that the government has left after
paying for its spending.
2. A decrease in interest rate add the quantity supplied for
money, and the money supply curve slopes upward.
3. If someone buy stock from a corporation, it's adds to the nation's
saving rather than investment.
4. The term interest rate in loanable funds is talking about the real
(rather than nominal) interest rate.
5. The effect of a Government Budget Surplus resulting the supply
curve for loanable funds would shift to the left, driving the
equilibrium interest rate up.
Transcribed Image Text:SAVING, INVESTMENT, AND THE FINANCIAL SYSTEM TRUE OR FALSE 1. Public Saving is tax revenue that the government has left after paying for its spending. 2. A decrease in interest rate add the quantity supplied for money, and the money supply curve slopes upward. 3. If someone buy stock from a corporation, it's adds to the nation's saving rather than investment. 4. The term interest rate in loanable funds is talking about the real (rather than nominal) interest rate. 5. The effect of a Government Budget Surplus resulting the supply curve for loanable funds would shift to the left, driving the equilibrium interest rate up.
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