The consumer price index was 200 in 2012 and 208 in 2013 . The nominal interest rate during this period was 9 percent. What was the real interest rate during this period?
a. 5.00 percent
b. 1.00 percent
c. 5.15 percent
d. 13.00 percent
a
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If the minimum wage is set above the market wage,
A) highly-skilled workers will have a harder time finding jobs. B) the quantity of labor supplied will be below the quantity of labor demanded. C) unemployment will rise. D) All of the above are correct.
An increase in demand for DVD machines occurs. Which of the following statements is TRUE for individual firms that produce DVD machines?
A) The price of DVD machines will decrease leading to an increase in the demand for labor by the firm. B) The price of DVD machines will increase leading to an increase in the demand for labor by the firm. C) The price of DVD machines will increase leading to a decrease in demand by customers leading to a decrease in the demand for labor by the firm. D) A change in demand at the industry level does not influence an individual firm's demand curve for labor.