Economics 9708 · AS & A Level · Oligopoly

Oligopoly — practice question

The diagram illustrates the market for loanable funds. Which changes might lead the equilibrium to shift from E1 to E2?

  • Aan increase in the propensity to save and an increase in bank lending
  • Bthe discovery of oil reserves and an increase in the propensity to save
  • Cadvances in technology and a decrease in bank lending
  • Da decrease in the propensity to save and the introduction of new products

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