5. You are considering buying a car and have enough money in your savings account to cover it. If inflation suddenly rises, the opportunity cost of buying the car real interest rate a. rises; falls; less b. rises; rises; more c. falls; falls; less d. falls; falls; more making you likely to buy it. as the

Exploring Economics
8th Edition
ISBN:9781544336329
Author:Robert L. Sexton
Publisher:Robert L. Sexton
Chapter18: Introduction To Macroeconomics: Unemployment, Inflation, And Economic Fluctuations
Section: Chapter Questions
Problem 13P
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5. You are considering buying a car and have enough money in your savings account to
cover it. If inflation suddenly rises, the opportunity cost of buying the car
real interest rate
a. rises; falls; less
b. rises; rises; more
c. falls; falls; less
d. falls; falls; more
making you
likely to buy it.
as the
Transcribed Image Text:5. You are considering buying a car and have enough money in your savings account to cover it. If inflation suddenly rises, the opportunity cost of buying the car real interest rate a. rises; falls; less b. rises; rises; more c. falls; falls; less d. falls; falls; more making you likely to buy it. as the
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