If this year's price level exceeds last year's,
A: the inflation rate between these years has been positive.
B: the inflation rate is accelerating.
C: deflation is occurring.
D: no relative price changes are occurring.
A: the inflation rate between these years has been positive.
B: the inflation rate is accelerating.
C: deflation is occurring.
D: no relative price changes are occurring.
举一反三
- If over the next year the inflation rate in the euro area is higher than the inflation rate in Japan, then the euro should depreciate relative to the Japanese yen.
- In which of the following cases was the inflation rate 12 percent over the last year? A: One year ago the price index had a value of 110 and now it has a value of 120. B: One year ago the price index had a value of 120 and now it has a value of 132. C: One year ago the price index had a value of 134 and now it has a value of 150. D: One year ago the price index had a value of 145 and now it has a value of 163.
- The economy's inflation rate is the（ ）. A: change in the gross domestic product from the previous period. B: percentage change in the price level from the previous period. C: price level in the current period. D: change in the price level from the previous period.
- If a one-year bond pays a fixed interest rate of 2.5% per year and this year's inflation rate is 2.8%, what is your real rate of return? A: 0.053 B: 0.028 C: 0.025 D: 0.003 E: -0.003
- Generally, the holder of a government bond that is indexed to the price level knows A: either the interest rate, the principal, or both are adjusted for inflation B: the real interest rate will fluctuate with inflation C: there will be no losses as long as inflation is anticipated, but losses can occur if there is an unanticipated increase in the inflation rate D: all of the above E: none of the above