Based on the Above Table, If the Current Price Level

question 56

Multiple Choice

$\begin{array} { c c } \hline \begin{array} { c } \text { Price level } \\( \mathbf { 2 0 0 5 } = \mathbf { 1 0 0 ) }\end{array} & \begin{array} { c } \text { Unemployment rate } \\\text { (percentage) }\end{array} \\\hline 102 & 7 \\103 & 6 \\105 & 5 \\108 & 4 \\112 & 3 \\\hline\end{array}$

Based on the above table, if the current price level is 100 and the unemployment rate is 4 percent,
Then the

• A)inflation rate is 2.8 percent.
• B)inflation rate is 108 percent.
• C)expected inflation rate is 8 percent.
• D)inflation rate is 8 percent.
• E)expected inflation rate is 2.8 percent.

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Definitions:

Ca

The chemical symbol for calcium, an element with atomic number 20, essential for living organisms, particularly in cell physiology and bone formation.

Neutrons

Electrically neutral subatomic particles found in the nucleus of an atom, contributing to the atom's mass but not its charge.

Isotope

Variants of a particular chemical element which differ in neutron number, and subsequently in mass, but share the same number of protons.

Protons

Subatomic particles found in the nucleus of every atom, possessing a positive electric charge.