Because of general price inflation in our economy, the purchasing power of the dollar shrinks with the passage of time. If the average general inflation rate is expected to be 8% per year for the foreseeable future, how many years will it take for the dollar's purchasing power to be one-third of what it is now?
Because of general price inflation in our economy, the purchasing power of the dollar shrinks with the passage of time. If the average general inflation rate is expected to be 8% per year for the foreseeable future, how many years will it take for the dollar's purchasing power to be one-third of what it is now?
Chapter7: Inflation
Section: Chapter Questions
Problem 20SQ
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Because of general price inflation in our economy, the purchasing power of the dollar shrinks with the passage of time. If the average general inflation rate is expected to be 8% per year for the foreseeable future, how many years will it take for the dollar's purchasing power to be one-third of what it is now?
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