Answer:
If nominal interest rate equals 5 percent and expected inflation is 3 percent, then the new nominal and real interest rates are respectively 5% and 2%.
Explanation:
The nominal interest rate is called the interest rate that is set by the bank and that will be added to the initial capital gradually according to the percentage established in the initially determined time. Thus, in the case, an annual interest of 5% is given, with which a deposit of $ 100 will rise to $ 105 after one year.
Now, the nominal interest rate may not represent real money growth. This is so because, due to inflation, a depreciation of the invested value occurs. Thus, for example, a deposit with an interest rate of 5% per year in a currency with inflation of 10% per year is losing 5% of its value during that year. In the case, since inflation is 3%, the real interest rate (that is, the real growth of investment) is 2%.
Answer:
Rate of natural increase= Crude birth rate - Crude death rate
Explanation:
2 cooler and drier because climate a is closer to the ocean than climate b
1. C2. C3. In elastic deformation, the deformed body returns to its original shape and size after the stresses are gone. In ductile deformation, there is a permanent change in the shape and size but no fracturing occurs. In brittle deformation, the body fractures after the strength is above the limit. 4. Normal faults are faults where the hanging wall moves in a downward force based on the footwall; they are formed from tensional stresses and the stretching of the crust. Reverse faults are the opposite and the hanging wall moves in an upward force based on the footwall; they are formed by compressional stresses and the contraction of the crust. Thrust faults are low-angle reverse faults where the hanging wall moves in an upward force based on the footwall; they are formed in the same way as reverse faults. Last, Strike-slip faults are faults where the movement is parallel to the crust of the fault; they are caused by an immense shear stress.
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