Recall Application 2, "Increased Political Independence for the Bank of England

Multiple Choice

Recall Application 2, "Increased Political Independence for the Bank of England Lowered Inflation Expectations," to
answer the following questions:
-According to the application, the way to measure inflation expectations in England was to compare:

A) nominal GDP growth rates and real GDP growth rates.
B) interest rates of inflation adjusted mutual funds and non- inflation adjusted mutual funds.
C) interest rates of inflation adjusted stock prices and non- inflation adjusted stock prices.
D) interest rates of inflation adjusted bonds and non- inflation adjusted bonds.