Multiple Choice
If the nominal interest rate is 5 percent and the rate of inflation is -2.5 percent,then the real interest rate is
A) -7.5 percent.
B) -2.5 percent.
C) 2.5 percent.
D) 7.5 percent.
Correct Answer:

Verified
Correct Answer:
Verified
Related Questions
Q49: During a certain year,the nominal interest rate
Q50: The consumer price index was 225 in
Q51: The consumer price index was 200 in
Q52: When box office receipts are not corrected
Q53: In the United States,nominal interest rates were<br>A)high
Q55: Marion collected Social Security payments of $250
Q56: Elizabeth just received her Ph.D.in economics and
Q57: Suppose that over the past year,the real
Q58: Suppose that over the past year,the nominal
Q59: Dewey earned a salary of $75,000 in