When the inflation rate is negative, the

A) real interest rate is greater than the nominal interest rate.
B) real interest rate is less than the nominal interest rate.
C) nominal interest rate is zero.
D) real interest rate equals the nominal interest rate.


A

Economics

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A) is the same as its value of marginal product of labor curve. B) shows how many jobs the firm demands at different wage rates. C) shifts rightward when the price of the firm's output falls. D) None of the above answers are correct.

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Which of the following is a possible budget reform?

a. a quarterly budget b. adding more line items to the budget c. a biennial budget d. none of the above would reform the budget process

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Each of the following is an example of discretionary fiscal policy, except

A. public works programs. B. changing tax rates. C. changes in the level of government spending. D. unemployment insurance benefits.

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Economists often treat the economy's capital stock as fixed because

A. unless the interest rate changes, the capital stock doesn't change. B. labor is a more important factor of production than capital, so economists ignore capital. C. it takes a long time for new investment and the scrapping of old capital to affect the overall quantity of capital. D. there is very little capital in the economy compared with the amount of labor.

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