If the inflation rate is 3% and the nominal interest rate is 4%, then the real interest rate is around
A. 1%.
B. 3%.
C. 12%.
D. 7%.
Answer: A
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The expenditure on consumption in Berylia during a particular year was $310,000, the expenditure on investment was $180,000, the expenditure incurred by the government was $75,000, the expenditure of foreign economic agents on domestic products was $
80,000, and domestic expenditure on foreign produced goods was $103,000. What is the gross domestic product of Berylia during that year? A) $542,000 B) $530,000 C) $645,000 D) $479,000
Sally would only agree to a second date with Andy if she sees him leave a generous tip for the waiter on their first dinner date. This is an example of a
a. Screening mechanism b. Signaling mechanism c. Way to waste money d. None of the above
The amount of autonomous consumption in an economy is measured by the:
a. the intercept of the consumption function when disposable income is positive. b. the intercept of the consumption function where actual consumption is above the 45-degree line. c. the intercept of the consumption function when disposable income is zero. d. the intercept of the consumption function where actual consumption is below the 45-degree line. e. the intercept of the consumption function when disposable income is negative.
Expectations theory tells us that what people think can impact the economy
Indicate whether the statement is true or false