The Bank of England's Monetary Policy Committee Assumes That Interest

question 70

Multiple Choice

The Bank of England's monetary policy committee assumes that interest rates take _____ to affect economic output.

• A) 1 year
• B) more than 5 years
• C) a total of 3 years
• D) 10 to 15 years

---

Definitions:

Dividend Growth Rate

The yearly growth rate percentage of a company's dividend payments to its shareholders.

Dividend Paid

The portion of earnings distributed to shareholders as a reward for their investment.

Dividend Growth Model

A method used to estimate the value of a stock based on the prediction of future dividend payments and growth rates.