Answer to Question #81275 in Macroeconomics for Antonio

Question

table 4.6 shows the amount of savings and borrowing in a market for loans to purchase homes, measured in millions of dollars, at various interest rates. what is the equilibrium interest rate and quantity in the capital financial market?

Answer 1

The equilibrium interest rate and quantity in the capital financial market is the point, where demand and supply for loanable funds curves intersect. To find the exact amount we need the table 4.6, which was mentioned.