Author Question: If the nominal interest rate is 4 percent and the inflation rate is 1 percent, then the real rate of ... (Read 122 times)

nautica902 · **on:** Jun 30, 2018

If the nominal interest rate is 4 percent and the inflation rate is 1 percent, then the real rate of interest is

A) 1 percent. B) 3 percent. C) 4 percent. D) 5 percent.

Question 2

When demand decreases and the demand curve shifts to the left, equilibrium price ________ and equilibrium quantity ________.

A) increases; decreases B) decreases; increases
C) decreases; decreases D) increases; increases