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Question: 5 the loanable funds market aa aa in each of...

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5. The loanable funds market Aa Aa In each of the following diagrams adjust either the supply of loanable funds curve or the demand for loanable funds curve to illustrate the event. Then use the graph to describe the events impact on the equilibrium interest rate and investment spending. An economy is opened to international movements of capital, and a capital inflow occurs. Tool tip: Click and drag one or both of the curves. Curves will snap into position, so if you try to move a curve and it snaps back to its original position, just try again and drag it a little farther. NOMINAL INTEREST RATE S1 S2 QUANTITY OF LOANABLE FUNDS The capital inflow ncrease the equilibrium interest rate and decreaseinvestment spending

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