loanable funds market
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the market where savers supply funds for loans to borrowers
physical capital
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factories, tools, and equipment used in the production of goods and
services; infrastructure at aggregate level (roads, bridges, rail networks)
help facilitate growth
, (Factors that increase aggregate demand:) Wealth Increase
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(Consumption) Increased wealth leads to increased consumption
cyclical unemployment
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unemployment caused by economic downturns
consumption smoothing (affect on the supply of loanable funds)
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individuals and households typically follow the same general pattern:
borrow when young to finance (house, cars, etc), save while middle aged
as incomes exceed expenditures, and they dissave (spend) when old when
their incomes no longer exceed expenditures
Increased Consumer Confidence
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Give this one a try later!
the market where savers supply funds for loans to borrowers
physical capital
Give this one a try later!
factories, tools, and equipment used in the production of goods and
services; infrastructure at aggregate level (roads, bridges, rail networks)
help facilitate growth
, (Factors that increase aggregate demand:) Wealth Increase
Give this one a try later!
(Consumption) Increased wealth leads to increased consumption
cyclical unemployment
Give this one a try later!
unemployment caused by economic downturns
consumption smoothing (affect on the supply of loanable funds)
Give this one a try later!
individuals and households typically follow the same general pattern:
borrow when young to finance (house, cars, etc), save while middle aged
as incomes exceed expenditures, and they dissave (spend) when old when
their incomes no longer exceed expenditures
Increased Consumer Confidence
Give this one a try later!
