Suppose the rate of return on a 10-year T-bond is 4.05%, the expected average rate of inflation over the next 10 years is 2.0%,
the MRP on a 10-year T-bond is 0.9%, no MRP is required on a TIPS, and no liquidity premium is required on any Treasury security. Given this information, what should the yield be on a 10-year TIPS? Di
<span>a contractionary fiscal policy that will shift the aggregate demand curve to the left by an amount equal to the initial change in investment times the spending multiplier.</span>
Let say A,B&C and the ratio is 3:5:12 3+5+12=20 250000divide by 20 = 12500 12500x3=37500 12500x5=62500 12500x12=150000 So A invested 37500 B invested 62500 C invested 150000