How Does the Volume of Water in the Oceans Compare

question 45

Multiple Choice

How does the volume of water in the oceans compare with the total volume of freshwater in lakes and rivers?

• A) They are about equal in volume.
• B) The oceans contain slightly more water than lakes and rivers do.
• C) The oceans contain much less water than lakes and rivers do.
• D) The oceans contain much more water than lakes and rivers do.

---

Definitions:

Menu Costs

The costs incurred by firms in order to change their prices, including costs related to printing new menus, re-tagging items, or advertising new prices.

Inflation-induced Tax Distortions

Discrepancies in the effective tax burden caused by inflation, which can lead to distorted investment and consumption decisions.

Shoeleather Costs

Shoeleather costs are the metaphorical costs of inflation, referring to the time and effort spent trying to avoid holding onto cash as it loses value.

Real Interest Rate

The rate of interest an investor expects to receive after allowing for inflation.