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2 years ago

The government decides what is produced, along with how much is produced.

SAT

2 answers:

Morgarella [4.7K]2 years ago

8 0

The answer to this is True. The government controls major aspects of economic production.

Klio2033 [76]2 years ago

3 0

Command economy The government decides what is produced, along with how much is produced.

Mixed market economy The government controls some aspects of the economy, such as infrastructure and transportation, while private consumers and producers control the means of production in other areas.

Pure market economy The government has no involvement or decision-making in what or how much is produced.

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luigi is willing to lend klaus $5,000 for one year at a nominal rate of interest of 7 percent. both luigi and klause expect the

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The real return is the difference between the nominal and actual rate of inflation. Therefore, the real return revived by Luigi will be 6%.

Given the Parameters :

Nominal rate = 7%

Actual rate of inflation = 1%

Real return = Nominal rate - Actual rate of return

Real Return = 7% - 1% = 6%

Therefore, the real return on Luigi's money would be 6%

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