If the nominal interest rate is greater than the real interest rate in an economy:
A) the real interest rate must be negative. B) inflation must be positive in the economy.
C) inflation must be zero in the economy. D) inflation must be negative in the economy.
B
Economics
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In the countries that have adopted inflation targeting, the inflation rate has typically
A) not changed. B) decreased to zero. C) increased. D) decreased.
Economics
If a U.S. dollar purchases 4 Argentinean pesos, and a gallon of milk costs $3 in the U.S. and 6 pesos in Argentina what is the real exchange rate?
a. 2 b. 3/2 c. 2/3 d. 1/2
Economics
The CPI and GDP deflator
What will be an ideal response?
Economics
Using the above figure, which of the lines in the above diagram represents a regressive tax?
A. A B. B C. C D. none of them
Economics