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
查看答案
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