The Nominal Interest Rate Is 6 Percent and the Real

question 52

Multiple Choice

The nominal interest rate is 6 percent and the real interest rate is 2.5 percent.What is the inflation rate?

• A)2.4 percent.
• B)3.5 percent.
• C)8.5 percent.
• D)15 percent.

---

Definitions:

Social Intelligence

The ability to understand and manage interpersonal relationships effectively, by recognizing and interpreting social cues and dynamics.

Emotional Intelligence

The ability to understand, use, and manage one's own emotions in positive ways to relieve stress, communicate effectively, empathize with others, and overcome challenges.

Cognitive Skills

Mental abilities that enable understanding, learning, problem-solving, and decision-making.

Foresight

The ability to anticipate future trends, consequences, or needs and prepare accordingly.