Which of the following equations is accurate?
a. money interest rate = real interest rate - inflationary premium
b. real interest rate = money interest rate + inflationary premium
c. real interest rate = money interest rate - inflationary premium
d. real interest rate = money interest rate
C
Economics
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A supply curve slopes upward because quantity supplied is higher when price is higher.
Answer the following statement true (T) or false (F)
Economics
Suppose that the total expenditures for a typical household in 2010 equaled $5,500 per month, while the cost of purchasing exactly the same items in 2015 was $6,875. If 2010 is the base year, the CPI for the year 2015 equals:
A. 1.00 B. 0.80 C. 1.20 D. 1.25
Economics