Question
please print out words show the answer,thanks!
8. Suppose real interest rate r-4% and expected inflation rate for the following year En 4%. (a) What is the nominal interest rate? (2 points) (b) What is the ex ante real interest rate? (2 points) Suppose the actual inflation rate at the end of the following year π turned out to be 6%. (c) What is the ex post real interest rate? (3 points) (d) Borrowers (gain/oseand lende and lenders (gain/lose) (4 points) Suppose the actual inflation rate at the end of the following year π turned out to be 2% (e) What is the ex post real interest rate? (3 points) (0) Borrowers (gain/lose) a and lenders (gain/lose)
0 0
Add a comment Improve this question Transcribed image text
Request Professional Answer

Request Answer!

We need at least 10 more requests to produce the answer.

0 / 10 have requested this problem solution

The more requests, the faster the answer.

Request! (Login Required)


All students who have requested the answer will be notified once they are available.
Know the answer?
Add Answer to:
please print out words show the answer,thanks! 8. Suppose real interest rate r-4% and expected inflation...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Similar Homework Help Questions
ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT