Suppose you place $10,000 in a retirement fund that earns a nominal interest rate of 8 percent. If you expect inflation to be 5 percent or lower, then you are expecting to earn a real interest rate of at least:

At a fair carnival roulette wheel, a player can either win $10, $30, or $80 . Assuming a rational player, how much should the game owner charge the player, to maximize his own profit?

a. $30 b. $40 c. $50 d. $80

The effect of an increase in the government budget deficit on the equilibrium level of GDP is essentially the same as a(n):

A. Decrease in saving B. Increase in saving C. Decrease in consumption D. Decrease in investment