Crowding Out. The supply of loanable funds curve SLF1 shifts to SLF2. This shift implies that: Group of answer choices national savings has decreased. private savings has decreased. national investment has decreased. private savings has increased.

Private savings has decreased.

Explanation:

The crowding out effect occurs when government intervention in the economy reduces either private investment or saving.

In the case of saving, this can occur if the government crowds out private investment by taking up large loans that cover most of the market for loanable funds. This will in turn reduce the incentive or capacity of private investors to save, reducing private saving, and decreasing the supply of loanable funds, causing the shift in the curve.

in 2001, dell computer became the world’s largest personal computer vendor, continuing to

gain market share and post profits in an industry struggling with slumping sales and billions of

dollars in losses. dell sells 90% of its pcs directly to the final customer, largely bypassing the

reseller channel that accounts for most of the world’s pc sales. this direct customer relationship

is the key to dell’s business model, and provides distinct advantages over the indirect sales

model. dell’s direct relationship with the customer allows it to tailor its offerings to customer

needs, offer add-on products and services, and use the internet to offer a variety of customer

services. in addition, dell’s pcs are built to customers’ specifications upon receipt of an order,

giving dell additional advantages over indirect pc vendors who must try to forecast demand and

ship products based on those forecasts. dell’s direct sales and build-to-order model has achieved

superior performance in the pc industry in terms of inventory turnover, reduced overhead, cash

conversion, and return on investment (kraemer, et al., 2000).

explanation:

i think the answer to your question is b. directive