Multiple Choice
Suppose you put $100 in the bank on January 1, 2017. If the annual nominal interest rate is 5 percent and the inflation rate is 5 percent, you will be able to buy ________ worth of inflation-adjusted goods on January 1, 2018.
A) $90
B) $110
C) $100
D) $105
E) $95
Correct Answer:
Verified
Correct Answer:
Verified
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