4 Long Run Economic Growth and Loanable Funds Market (Chapters 10 and 11) 4.1 If real GDP in a small country in 2017 is $8 billion and real GDP in the same country in 2018 is $8.3 billion, the growth...

Extracted text: 4 Long Run Economic Growth and Loanable Funds Market (Chapters 10 and 11) 4.1 If real GDP in a small country in 2017 is $8 billion and real GDP in the same country in 2018 is $8.3 billion, the growth rate of real GDP between 2017 and 2018. Show your work 4.2 If real GDP per capita doubles between 2005 and 2020, what is the average annual growth rate of real GDP per capita? Show your work 4.3 Explain and show graphically how an increase in household saving affects the equilibrium interest rate and the equilibrium quantity of loanable funds 4.4 Explain and show graphically how an increase in expected profits from firm investment projects affects the equilibrium interest rate and the equilibrium quantity of loanable funds 4.5 Explain and show graphically how an increase in government spending (ie. budget deficit) affects the equilibrium interest rate in the market for loanable funds