The nominal rate of interest is
A) the interest rate observed in today's market.
B) the interest rate observed in the market minus the inflation premium.
C) not influenced by inflation.
D) a value that depends upon the stock market.
A
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Arriving at a decision by comparing total costs and total benefits is called marginal analysis
Indicate whether the statement is true or false
An implicit cost: a. is an opportunity cost
b. is an out-of-pocket expense. c. does not require an outlay of money. d. is characterized by both (a) and (c)
Suppose that a country with a closed economy opens itself to international trade and becomes a net exporter. In that case, domestic suppliers will supply ________ of that good after it opens itself to international trade.
A. same amount B. more C. less D. none
If demand increases, the increase in price will be smaller if demand and supply are highly inelastic.
Answer the following statement true (T) or false (F)