If the real rate of return is 2 percent, and the inflation rate is 0 percent, then the nominal interest rate must be:
A. 2 percent.
B. 0 percent.
C. 4 percent.
D. ?2 percent.
A. 2 percent.
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The most liquid asset is
A) a house. B) stocks of a highly profitable company. C) gold. D) money.
The Sarbanes-Oxley Act gave the federal government the power to grant corporate charters
Indicate whether the statement is true or false
Most economists think that the economy's self-correcting mechanism is
a. relatively rapid. b. rapid in the short run and sluggish in the long run. c. sluggish in the short run and rapid in the long run. d. relatively sluggish.
The term "open market operations" refers to the:
A. loan-making activities of commercial banks. B. effect of expansionary monetary policy on interest rates. C. operation of competitive markets in the banking industry as the result of deregulation. D. buying and selling of government securities by the Federal Reserve.