How Is It Possible for Real Rates of Return to Increase

question 56

Multiple Choice

How is it possible for real rates of return to increase during times when the rate of inflation increases?

• A) Inflation increased more than the real return.
• B) Nominal returns actually decreased.
• C) Nominal returns increased more than inflation.
• D) Nominal returns increased less than inflation.

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Definitions:

Audience's Need

The specific requirements or expectations that the target audience of a communication, product, or service has.

Positive Emphasis

The practice of focusing on or highlighting the positive aspects of a situation, product, or service.

Negative Situation

An adverse or undesirable circumstance or event.

Euphemism

A mild or indirect word or expression used to replace one considered too harsh or blunt when referring to something unpleasant or embarrassing.