If the nominal interest rate is a constant 15 percent and anticipated inflation falls from 10 percent to 7 percent, the real interest rate would change from
A. 15 to 10 percent.
B. 5 to 8 percent.
C. 8 to 5 percent.
D. 7 to 9 percent.
Answer: B
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In the table above, the market is in equilibrium. Then a minimum wage is set at $11 per hour. The number of unemployed workers will be
A) 0. B) 2 million. C) 4 million. D) 6 million.
The U.S. federal government relies more heavily on sales taxes, excise taxes, and customs duties than nearly any other government in the world
a. True b. False Indicate whether the statement is true or false
Long-run economic rent or profit do not exist for fixed factors like land because
A) bidding drives up the price of the factor until no economic rent exists. B) there is no market for such factors. C) these factors have L-shaped isoquants. D) these factors will earn economic profits.
The practice of charging different prices to different consumers of the same product is called
a. monopolistic pricing b. unit pricing c. price discrimination d. elasticity pricing e. marginal cost pricing