题目内容

If the yearly inflation rate could be always be perfectly anticipated, then

A. currency holders would still have a negative rate of return
B. menu costs would still arise
C. people would still have to worry about shoe-leather costs
D. the costs of inflation to society would be small
E. all of the above

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Which of the following is TRUE, if inflation could be always perfectly anticipated?

A. no costs to society arise from inflation
B. there are no shoe-leather costs
C. there are no menu costs
D. currency holders would not experience any loss of purchasing power
E. none of the above

If you had $3,000 in a savings account that paid 5% interest compounded annually, how much would you have in your account after five years?

A. 3484
B. 3629
C. 3750
D. 3829
E. 4224

If you had $1,000 in a savings account that paid 4% interest compounded annually, how much would you have in your account after three years?

A. 1012
B. 1120
C. 1125
D. 1250
E. 1400

If you had $2,000 in a savings account that paid 4% interest compounded annually, what would be the real value of your savings after two years if the annual inflation rate were 2%?

A. 2040
B. 2081
C. 2160
D. 1163
E. 2247

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