If the expected inflation rate is 3 percent and banks charge a 10 percent money rate of interest, the real rate of interest is
a. 3 percent.
b. 7 percent.
c. 10 percent.
d. 17 percent.
B
Economics
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In the current year, the CPI is 122 and during the previous year the CPI was 115. The inflation rate between these years is
A) -5.7 percent. B) -6.1 percent. C) 6.1 percent. D) 5.7 percent. E) 1.61 percent.
Economics
Refer to the figure above. What is the domestic demand for calculators in Barylia, once the economy opens up to free trade?
A) 20 units B) 50 units C) 60 units D) 100 units
Economics