For the first two blanks: your answer should include only numbers and a decimal. Do not include the %-sign. Round your answer to 1 decimal place if necessary. If the nominal interest rates is 6.6% and the expected real interest rate is 5.1%, then the expected inflation rate is equal to %. Suppose the actual inflation rate is equal to 1.2%. Then the actual real interest rate is equal to %. Relative to the expected inflation rate, the actual inflation rate is good for the but bad for the For both blanks, choose from: borrower, lender It is important that you type in your answers exactly as it appears in the options provided. Quercus is case-sensitive.

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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For the first two blanks: your answer should include only numbers and a decimal. Do not include
the %-sign. Round your answer to 1 decimal place if necessary.
If the nominal interest rates is 6.6% and the expected real interest rate is 5.1%, then the expected
inflation rate is equal to
%.
Suppose the actual inflation rate is equal to 1.2%. Then the actual real interest rate is equal to
%.
Relative to the expected inflation rate, the actual inflation rate is good for the
but bad for the
For both blanks, choose from: borrower, lender
It is important that you type in your answers exactly as it appears in the options provided. Quercus is
case-sensitive.
Transcribed Image Text:For the first two blanks: your answer should include only numbers and a decimal. Do not include the %-sign. Round your answer to 1 decimal place if necessary. If the nominal interest rates is 6.6% and the expected real interest rate is 5.1%, then the expected inflation rate is equal to %. Suppose the actual inflation rate is equal to 1.2%. Then the actual real interest rate is equal to %. Relative to the expected inflation rate, the actual inflation rate is good for the but bad for the For both blanks, choose from: borrower, lender It is important that you type in your answers exactly as it appears in the options provided. Quercus is case-sensitive.
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