Author Question: If the nominal interest rate in an economy is 6 and the inflation rate in the economy is 10, then ... (Read 99 times)

sjones

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If the nominal interest rate in an economy is 6 and the inflation rate in the economy is 10, then the real interest rate is:
 
  A) -6. B) 10. C) 6. D) -4.

Question 2

If the MPS = 0.2, the multiplier would be
 
  A) 0.5. B) 1. C) 2. D) 5.


annierak

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Answer to Question 1

D

Answer to Question 2

D



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