The "expected real" interest rate is the

A) rate actually quoted in financial markets.
B) rate actually quoted in financial markets minus the expected inflation rate.
C) rate actually quoted in financial markets plus the expected inflation rate.
D) rate actually quoted in financial markets divided by the expected inflation rate.


B

Economics

You might also like to view...

Assuming a firm is selling its output in a purely competitive market, its resource demand curve can be determined by

A. multiplying total product by product price. B. dividing total revenue by marginal product. C. comparing marginal product with various possible input prices. D. multiplying marginal product by product price.

Economics

A money flow in the circular flow diagram is

i. the government's collection of taxes. ii. Chevrolet's production of SUVs. iii. Nike's payment of wages to its workers. A) i only B) ii only C) i, ii and iii D) ii and iii E) i and iii

Economics

A bakery that produces 100 loaves of bread has a variable cost of $50 and a fixed cost of $200. Calculate the total cost, average total cost, average variable cost, and average fixed cost of the bakery

What will be an ideal response?

Economics

A shift in the demand curve for sailboats resulting from an increase in incomes will lead to

a. higher prices of sailboats. b. lower prices of sailboats. c. a corresponding shift in the supply curve for sailboats. d. lower output of sailboats. e. no change in the price of sailboats.

Economics