Multiple Choice
If the nominal interest rate is 7 percent and the rate of inflation is 3 percent,then the real interest rate is
A) 7 percent.
B) 4 percent.
C) 3 percent.
D) 10 percent.
Correct Answer:
Verified
Correct Answer:
Verified
Related Questions
Q124: A larger budget deficit<br>A)raises the interest rate
Q164: Figure 26-5.Figure 26-5 shows the loanable funds
Q165: Figure 26-3.The figure shows two demand-for-loanable-funds curves
Q166: Crowding out occurs when<br>A)investment declines because a
Q167: Which of the following events could explain
Q169: Suppose government expenditures on goods and services
Q170: Suppose a country repealed its investment tax
Q171: If the government currently has a budget
Q172: Suppose that Congress were to repeal an
Q173: Which of the following would necessarily increase