If the real interest rate is equal to the nominal interest rate in an economy:
A) inflation must be negative in the economy.
B) inflation must be zero in the economy.
C) inflation must be positive in the economy.
D) the nominal interest rate must be zero.
B
Economics
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In the Mundell-Fleming model with perfect capital mobility, the domestic interest rates are determined by
a. monetary policy. b. the IS and LM curves. c. domestic savings and investment. d. budget deficits. e. none of the above.
Economics
As the definition of products narrows (i.e., becomes more specific), the concentration ratio
A) is not valid. B) tends to decrease. C) tends to increase. D) does not change in any predictable manner.
Economics