Solved

If the Nominal Interest Rate Is 7 Per Cent and the Inflation

Question 54

Multiple Choice

If the nominal interest rate is 7 per cent and the inflation rate is 3 per cent, then the real interest rate is

A) -4 per cent.
B) 3 per cent.
C) 4 per cent.
D) 10 per cent.
E) 21 per cent.

Related Questions

Q49: If there is an increase in the

Q51: If your wage rises from €500 per

Q52: If the CPI has a value of

Q55: Because an increase in petrol prices causes

Q56: Under which of the following conditions would

Q57: Which item would receive the most weight

Q58: In a simple economy, people consume

Q59: If lenders demand a real rate of

Q105: Jay and Joyce meet George, the banker,

Q196: List the three major problems in using