Author Question: The real interest rate can be expressed as the: a. nominal interest rate minus the real interest ... (Read 137 times)

altibaby · **on:** Jun 30, 2018

The real interest rate can be expressed as the:
a. nominal interest rate minus the real interest rate.
b. inflation rate minus the nominal interest rate.
c. nominal interest rate minus the inflation rate.
d. nominal interest rate plus the inflation rate.

Question 2

The presence of the automatic stabilizers means an increase in the budget deficit will be automatically experienced during an economic expansion whereas a budget surplus will be automatically experienced during a recession.
a. True
b. False
Indicate whether the statement is true or false