You deposit $2,000 in a savings account, and a yearlater you have $2,100. Meanwhile, the CPI risesfrom 200 to 204. In this case, the nominal interestrate is _________ percent, and the real interest rateis _________ percent.a. 1; 5b. 3; 5c. 5; 1d. 5; 3
You deposit $2,000 in a savings account, and a yearlater you have $2,100. Meanwhile, the CPI risesfrom 200 to 204. In this case, the nominal interestrate is _________ percent, and the real interest rateis _________ percent.a. 1; 5b. 3; 5c. 5; 1d. 5; 3
Essentials of Economics (MindTap Course List)
8th Edition
ISBN:9781337091992
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter16: Measuring The Cost Of Living
Section: Chapter Questions
Problem 6CQQ
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Question
You deposit $2,000 in a savings account, and a year
later you have $2,100. Meanwhile, the CPI rises
from 200 to 204. In this case, the nominal interest
rate is _________ percent, and the real interest rate
is _________ percent.
a. 1; 5
b. 3; 5
c. 5; 1
d. 5; 3
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