The real interest rate can be estimated by:
A. subtracting the pure interest rate from the nominal interest rate.
B. dividing the nominal interest rate by the consumer price index.
C. subtracting the nominal interest rate from the rate of inflation.
D. subtracting the rate of inflation from the nominal interest rate.
Answer: D
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Suppose that some country had an adult population of about 46 million, a labor-force participation rate of 75 percent, and an unemployment rate of 8 percent. How many people were employed?
a. 2.76 million b. 31.74 million c. 34.5 million d. 42.32 million
If marginal product is greater than average product, then
A) average product must be decreasing. B) marginal product must be decreasing. C) marginal product must be increasing. D) marginal product could either be increasing or decreasing.