If the Inflation Rate Is 3 Percent and the Real

question 22

Multiple Choice

If the inflation rate is 3 percent and the real interest rate is 5 percent, what is the nominal interest rate?

• A)2 percent
• B)3 percent
• C)5 percent
• D)8 percent

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Definitions:

Economic Problems

Issues that disrupt or impair the efficient functioning of an economy, such as inflation, unemployment, and recession.

Intellectual Father

A term often used metaphorically to describe a person who has significantly influenced the development or conceptualization of a field or idea, similar to a founding or pioneering figure.

Black Power

A political slogan and a name for various associated ideologies aimed at achieving self-determination for people of African descent.

Malcolm X

An African-American Muslim minister and human rights activist who was a prominent figure in the civil rights movement, advocating for the rights of blacks.