In the loanable funds​ model, the supply curve is upward sloping because:___.
a. the higher the real interest​ rate, the greater the reward to saving and hence the larger the quantity of funds households will save.
b. a higher real interest rate increases the foreign exchange value of the​ dollar, which reduces net exports​ and, as a​ consequence, increases the quantity of foreign saving available to the domestic loanable funds market.
c. an increase in the real interest rate increases government saving by inducing governments to curtail​ spending, thereby reducing budget deficits or increasing surpluses.
d. All of the above.
e. A and B but not C.