If the Supply of loanable funds is very inelastic (steep) Which policy would likely increase saving and investment the most ?

an increase in the budget deficit

a reduction in the budget deficit

If the Supply of loanable funds is very inelastic (steep) Which polic

1.	If the Supply of loanable funds is very inelastic (steep) Which policy would likely increase saving and investment the most ?
A.	a reduction in the budget deficit
B.	an increase in the budget deficit
C.	an investment tax credit
D.	None of the above
Answer» B. an increase in the budget deficit