If the real interest rate is 3% and the expected inflation rate is 6%, then the nominal interest rate is
A) 0.5%.
B) 2%.
C) 3%.
D) 9%.
D
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Refer to Table 2-5. What is Estonia's opportunity cost of producing one cell phone?
A) 0.2 board feet of lumber B) 5 board feet of lumber C) 8 board feet of lumber D) 32 board feet of lumber
Any uses of current income for purposes other than purchasing currently produced domestic goods and services are called an injection
Indicate whether the statement is true or false
A country has domestic investment of $200 billion. Its citizens purchase $600 of foreign assets and foreign citizens purchase $300 of its assets. What is national saving?
a. $400 billion b. $500 billion c. $600 billion d. $800 billion
The marginal benefit from pollution abatement
A) increases as pollution abatement increases because people learn to want an even cleaner environment as the environment gets cleaner. B) decreases as pollution abatement increases because of the law of diminishing marginal product. C) is constant as pollution abatement increases because pollution abatement is valued for its own sake and not for the utility it provides. D) decreases as pollution abatement increases because of the law of diminishing marginal utility.