If the Nominal Interest Rate Is 8 Percent and Rate

question 145

Multiple Choice

If the nominal interest rate is 8 percent and rate of inflation is 5.5 percent,then the real interest rate is

• A)13.5 percent.
• B)12 percent.
• C)2.5 percent.
• D)-2.5 percent.

---

Definitions:

Immigration Laws

Legal provisions that govern the entry, residence, and naturalization of foreign nationals within a country.

Equalize Wage Rates

The effort or policy aimed at making wages more uniform across different sectors, regions, or occupations.

Job Opportunities

Prospects or openings in the job market where individuals can find employment.

Business Income

Income generated from the operation of a business or the undertaking of commercial activities.