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zvonat [6]
3 years ago
9

The rule of 70 is a measure of how long it will take for prices to __________ at a given inflation rate.

Business
1 answer:
swat323 years ago
8 0

Answer:

A. double

Explanation:

Rule 70 is used to calculate the numbers of years it takes for an investment  or variable to double in value given a certain growth rate. In this case, the variable is prices and the growth rate is  inflation  rate. It is calculated by dividing number 70 by inflation rate.

For example;

Assume inflation rate is 6%, the prices will double in ; 70/6 = 11.7 years

And if inflation is 2%, the prices will double in 70/2 = 35 years

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