The Inflation Rate Is the

question 27

Multiple Choice

The inflation rate is the

• A)absolute change in real GDP from one period to another.
• B)percentage change in real GDP from one period to another.
• C)absolute change in the price level from one period to another.
• D)percentage change in the price level from one period to another.

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Definitions:

Required Return

The minimum expected return investors demand for an investment, considering its risk.

Required Return

The least percentage of profit or gain expected by an investor for taking the risk to invest in a specific asset or project.

Annual Dividend

The annual sum of dividends disbursed by a corporation to its stockholders.