失業與通脹

The nominal interest rate and the expected inflation rate are 8% and 5% respectively. If the actual inflation rate is 10%, the real rate of return on holding cash will be _______.

Suppose the market rate of interest is 5% and the expected inflation rate is 3%. The opportunity cost of holding money is _________, and the real rate of return on holding money is _________.

Suppose the nominal interest rate on a one-year bond is 3% and the expected deflation rate is 2%. However, the general price level turns out to rise by 3%. The nominal rate of return and the actual real rate of return of holding the bond are _________ and _________ respectively.

The nominal interest rate is the same as

When there is inflation,

If the nominal interest rate on one-year bond is 8% and the expected inflation rate is 3%, the nominal rate of return and the expected real rate of return of holding money are _________ and _________ respectively.

The real interest rate will be higher than the nominal interest rate if

The above diagram shows that during the period

When there is deflation,

Disinflation means that