The expected real interest rate (r) is equal to
A. nominal interest rate minus inflation rate.
B. nominal interest rate plus expected inflation rate.
C. expected nominal interest rate minus inflation rate.
D. nominal interest rate minus expected inflation rate.
Answer: D
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Suppose there are two economies, Alpha and Beta, which have the same production possibilities curves and are on the same point on each curve. If Beta then devotes more resources to investment goods than consumer goods when compared to Alpha, then in the future:
A. Beta will not be able to achieve full employment or productive efficiency B. Beta will experience greater economic growth than Alpha. C. Alpha will experience greater economic growth than Beta. D. Alpha will not be able to achieve full employment or productive efficiency.
According to the World Bank, in 2006, China's GDP was approximately $2.7 trillion (or $2,700 billion). That same year, India's GDP was approximately $906.3 billion
With which of the following populations would China's standard of living have been considered higher than India's that year? A) China's population = 1.3 billion; India's population = 1.1 billion B) China's population = 8.3 billion; India's population = 1.1 billion C) China's population = 3.5 billion; India's population = 1.1 billion D) China's population = 500 million; India's population = 125 million
An example of a stock would be
A) real GDP. B) savings. C) investment. D) the amount of money in circulation.
On the 4 degree line diagram, for points that lie below the 45 degree line
What will be an ideal response?