The dominant factor why the nominal interest rate differs among ...

[gonzo233]

The dominant factor why the nominal interest rate differs among nations is that ________ differs among nations.
 
  A) inflation rate
  B) the price level
  C) potential GDP
  D) the quantity of money
  E) the unemployment rate

Question 2

An economy has no imports or income taxes. The MPC is 0.75 and real GDP is 120 billion. Businesses increase investment by 4 billion. The multiplier is ________ and the change in real GDP from the increase in investment is ________ billion.
 
  A) 5; 16 B) 4; 25 C) 0.75; 3 D) 5; 25 E) 4; 16

[karmakat49]

Answer to Question 1

A

Answer to Question 2

E

[gonzo233]

YES! Correct, THANKS for helping me on my review

[upturnedfurball]

Thanks for the timely response, appreciate it