The nominal interest rate plus the inflation rate equals the real ...

[Kikoku]

The nominal interest rate plus the inflation rate equals the real interest rate.
 
  Indicate whether the statement is true or false

Question 2

Explain what scatter diagrams show and why we use them.
 
  What will be an ideal response?

[tandmlomax84]

Answer to Question 1

FALSE

Answer to Question 2

Scatter diagrams plot the value of one economic variable against the value of another variable for a number of different values of each variable. We use scatter diagrams because they quickly reveal if a relationship exists between the two variables. Moreover, if a relationship exists, scatter diagrams show whether increases in one variable are associated with increases or decreases in the other variable.

[Kikoku]

Thanks for the timely response, appreciate it

[shailee]

Wow, this really help