This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Suppose you have 400 and the inflation rate is 5 percent. In order to earn a real return of 16 on ... (Read 94 times)

james9437

  • Hero Member
  • *****
  • Posts: 568
on: Jun 30, 2018
Suppose you have 400 and the inflation rate is 5 percent. In order to earn a real return of 16 on your investment, the nominal interest rate needs to be near
 
  A) 0 percent. B) 4 percent. C) 6 percent. D) 9 percent.

Question 2

Both increases in the price level and increases in real GDP will decrease the demand for money.
 
  Indicate whether the statement is true or false


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

josephsuarez

  • Sr. Member
  • ****
  • Posts: 323
Reply #1 on: Jun 30, 2018
Answer to Question 1

D

Answer to Question 2

FALSE


james9437

  • Member
  • Posts: 568
Reply 2 on: Jun 30, 2018
Gracias!

peter

  • Member
  • Posts: 330
Reply 3 on: Yesterday
Excellent

« previous next »
 

Did you know?

The types of cancer that alpha interferons are used to treat include hairy cell leukemia, melanoma, follicular non-Hodgkin's lymphoma, and AIDS-related Kaposi's sarcoma.

Did you know?

It is believed that the Incas used anesthesia. Evidence supports the theory that shamans chewed cocoa leaves and drilled holes into the heads of patients (letting evil spirits escape), spitting into the wounds they made. The mixture of cocaine, saliva, and resin numbed the site enough to allow hours of drilling.

Did you know?

Drug abusers experience the following scenario: The pleasure given by their drug (or drugs) of choice is so strong that it is difficult to eradicate even after years of staying away from the substances involved. Certain triggers may cause a drug abuser to relapse. Research shows that long-term drug abuse results in significant changes in brain function that persist long after an individual stops using drugs. It is most important to realize that the same is true of not just illegal substances but alcohol and tobacco as well.

Did you know?

The most dangerous mercury compound, dimethyl mercury, is so toxic that even a few microliters spilled on the skin can cause death. Mercury has been shown to accumulate in higher amounts in the following types of fish than other types: swordfish, shark, mackerel, tilefish, crab, and tuna.

Did you know?

There are actually 60 minerals, 16 vitamins, 12 essential amino acids, and three essential fatty acids that your body needs every day.

A Glitch Interrupts the Vela Pulsar’s Spindown Rate A Glitch Interrupts the Vela Pulsar’s Spindown Rate
Maximal Heart Rate Over Time Maximal Heart Rate Over Time
Rank-order correlations show that differential consistency remains high from childhood through late ... Rank-order correlations show that differential consistency remains high from childhood through late ...
Income per Capita versus Total Fertility Rate Income per Capita versus Total Fertility Rate
Total Fertility Rate in the United States, 1860–2008 Total Fertility Rate in the United States, 1860–2008
Suppose that we have a sample space with five equally likely experimental outcomes: E1, E2, E3, ... Suppose that we have a sample space with five equally likely experimental outcomes: E1, E2, E3, ...
Video: Medullary osmotic gradient - influencing factors

For a complete list of videos, visit our video library