the supply and demand curves for loanable funds are affected by different factors. classify each event according to which curve of the loanable funds model that it shifts, if any, and the direction of the shift.

Loanable funds is an economic concept used to describe the amount of money available for lending or borrowing through financial institutions such as banks or credit unions. It is the sum of all savings, investments, and other sources of capital that can be loaned out to individuals or businesses. Loanable funds are also referred to as the supply of credit or the loanable funds market. The demand for loanable funds is driven by borrowers who wish to buy homes, start businesses, or make other investments. The supply of loanable funds depends on the amount of savings available, the profitability of investments, the liquidity of financial markets, and the willingness of lenders to make loans. Loanable funds also play a key role in the determination of interest rates, as the demand for funds affects the cost of borrowing and the return on savings investments.

1. A decrease in the demand for loanable funds from foreign investors: Demand Curve - Left
2. An increase in the savings rate of households: Supply Curve - Right
3. Increased government spending: Demand Curve - Right
4. A decrease in interest rates: Demand Curve - Right

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