the real interest rate equals nominal interest rate minus inflation rate. In the situation the inflation rate increase and the nominal interest rate remains unchanged, therefore the real interest rate must decrease.
-3
3 percent
Discuss the various methods of inflation accounting.
Too much inflation will ruin the economy but small levels of inflation will spur growth. Inflation is very harmful to any economy because it can ruin the economy's development and growth and this is not suppose to be. Inflation is also very harmful to any economy because the people living in that economy might not survive the situation and this is when you see that an economy is affected and if nothing is done to it, it can cause an economy to collapse.
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-3
3 percent
Suppose the amount invested (or borrowed) is K, Suppose the rate of interest is R% annually, Suppose the amount accrues interest for Y years. Then the interest I is 100*K[(1 + R/100)^Y - 1]
They are suppose to follow the rulers.
They are suppose to follow the rulers.
No. I is as described for the stated period.
Discuss the various methods of inflation accounting.
The market is always on a slope, and is therefore expected to do the complete opposite of its current standings in the following years. There for a bond investor would want to lock in the current interest rates by buying multiple bonds from the government, and in the future, when the interest rates lower, sell them in the market to individuals who are looking for the high interest rates you have, since those bonds will have higher returns.
Too much inflation will ruin the economy but small levels of inflation will spur growth. Inflation is very harmful to any economy because it can ruin the economy's development and growth and this is not suppose to be. Inflation is also very harmful to any economy because the people living in that economy might not survive the situation and this is when you see that an economy is affected and if nothing is done to it, it can cause an economy to collapse.
i no help you with ur math hw.
They were out for profit and to pay back the investors. It wasn't suppose to be a colony.
It is suppose to , but sometimes it seems they are only concerned with their agenda and not the common good of the people.