Corruption
A) curtails economic growth.
B) is eliminated by foreign direct investment.
C) raises the rate of growth as bribes enhance income.
D) acts as a magnet for foreign direct investment.
Question 2
Suppose you borrow 1,000 at an interest rate of 12 percent. If the expected real interest rate is 5 percent, then the rate of inflation over the upcoming year that would be most beneficial to you would be a rate of inflation
A) greater than 7 percent. B) equal to 7 percent.
C) less than 7 percent. D) equal to 0 percent.