« previous next »

Author Question: If the nominal interest rate in an economy is 6 and the inflation rate in the economy is 10, then ... (Read 97 times)

sjones

  • Hero Member
  • *****
  • Posts: 520
on: Jun 30, 2018
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.
Macroeconomics: Principles, Applications and Tools ¦ O'Sullivan, Sheffrin, Perez ¦ 7th Edition
Buy Test-Bank


annierak

  • Sr. Member
  • ****
  • Posts: 340
Reply #1 on: Jun 30, 2018
Answer to Question 1

D

Answer to Question 2

D


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Limit intake of red meat and dairy products made with whole milk. Choose skim milk, low-fat or fat-free dairy products. Limit fried food. Use healthy oils when cooking.

Did you know?

Asthma-like symptoms were first recorded about 3,500 years ago in Egypt. The first manuscript specifically written about asthma was in the year 1190, describing a condition characterized by sudden breathlessness. The treatments listed in this manuscript include chicken soup, herbs, and sexual abstinence.

Did you know?

There can actually be a 25-hour time difference between certain locations in the world. The International Date Line passes between the islands of Samoa and American Samoa. It is not a straight line, but "zig-zags" around various island chains. Therefore, Samoa and nearby islands have one date, while American Samoa and nearby islands are one day behind. Daylight saving time is used in some islands, but not in others—further shifting the hours out of sync with natural time.

Did you know?

Illicit drug use costs the United States approximately $181 billion every year.

Did you know?

In 1885, the Lloyd Manufacturing Company of Albany, New York, promoted and sold "Cocaine Toothache Drops" at 15 cents per bottle! In 1914, the Harrison Narcotic Act brought the sale and distribution of this drug under federal control.

Cause of Inflation Cause of Inflation
Advection of an air mass with a different ELR (environmental lapse rate). Advection of an air mass with a different ELR (environmental lapse rate).
Latin America in the Global Economy Latin America in the Global Economy
Enzymatic rate enhancements Enzymatic rate enhancements
Factors That Affect Your Basal Metabolic Rate Factors That Affect Your Basal Metabolic Rate
The decay rate of a radioactive sample decreases from 175 kBq to 12.4 kBq in 18.3 s. What is ... The decay rate of a radioactive sample decreases from 175 kBq to 12.4 kBq in 18.3 s. What is ...
Video: DNA fingerprinting Animation

For a complete list of videos, visit our video library