The higher the expected rate of inflation,
A) the lower is the nominal rate of interest.
B) the higher is the real rate of interest.
C) the higher is the nominal rate of interest.
D) the higher the real and nominal rates of interest.
C
Economics
You might also like to view...
Which statement below is true for a price taker in the long run?
A) Net revenue can only be positive. B) Net revenue can only be negative. C) Net revenue can only be zero. D) Net revenue can be positive, negative, or zero.
Economics
The ________ effect means that, other things remaining the same, the higher the wage rate, the less time people will spend working and the more time people will spend at leisure
A) price B) labor C) income D) substitution
Economics