Multiple Choice
If the nominal interest rate is 12 percent and the real interest rate is 8 percent, then the inflation premium is:
A) 8 percent.
B) 12 percent.
C) 4 percent.
D) 20 percent.
Correct Answer:

Verified
Correct Answer:
Verified
Related Questions
Q96: A lender need not be penalized by
Q146: Cyclical unemployment is the result of:<br>A)expansion in
Q148: Suppose rate of inflation for some specific
Q150: If the CPI was 160 in 2008
Q152: Kevin has lost his job in an
Q153: The complexity in recognizing the type of
Q154: For every 1 percent that the actual
Q155: Working as an elevator operator used to
Q156: If average nominal income was about $15,000
Q201: If the consumer price index falls from