If You Expect to Retire in 30 Years, Live on $50,000

question 91

Multiple Choice

If you expect to retire in 30 years, live on $50,000 per year and expect the inflation to average 3% over the next 30 years, what amount of annual income will you need to live at the same comfort level in 30 years?

• A) $121,363
• B) $$95,000
• C) $20,599
• D) $51,500

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Definitions:

Product Price

The financial cost at which a good or service is sold to consumers in the market.

Deregulation

The removal of most or even all of the government regulation and laws designed to supervise an industry. Sometimes undertaken to combat regulatory capture.

Industrial Regulation

Government policies aimed at regulating the operations of industries to prevent unfair practices and ensure competition.

Net Benefits

The total benefits of some activity or policy less the total costs of that activity or policy.