(04.07 MC) Use the graph to answer the question that follows…
(04.07 MC) Use the graph to answer the question that follows.Assume that the market for loanable funds is in equilibrium at the rate of interest shown at point ‘R’ and the quantity of loanable funds, ‘Q,’ as shown in the accompanying graph. If there is an increase in productivity due to technological innovation, then what impact will this have on the demand for loanable funds, ceteris paribus?