Suppose that over the past year, the real interest rate was 4 percent and the inflation rate was -1 percent. It follows that Group of answer choices the dollar value of savings increased at 4 percent, and the purchasing power of savings increased at 4 percent. the dollar value of savings increased at 4 percent, and the purchasing power of savings increased at 3 percent. the dollar value of savings increased at 2 percent, and the purchasing power of savings increased at 4 percent. the dollar value of savings increased at 3 percent, and the purchasing power of savings increased at 4 percent

Suppose that over the past year, the real interest rate was 4 percent and the inflation rate was -1 percent. It follows that Group of answer choices the dollar value of savings increased at 4 percent, and the purchasing power of savings increased at 4 percent. the dollar value of savings increased at 4 percent, and the purchasing power of savings increased at 3 percent. the dollar value of savings increased at 2 percent, and the purchasing power of savings increased at 4 percent. the dollar value of savings increased at 3 percent, and the purchasing power of savings increased at 4 percent

Economics:

10th Edition

ISBN:9781285859460

Author:BOYES, William

Publisher:BOYES, William

Chapter7: Unemployment And Inflation

Section: Chapter Questions

Problem 7E

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