So, the dollar price of the jeans is the nominal variable, and the relative price is the real variable. The relative price of the jeans have been adjusted to inflation. The dollar price hasn't been adjusted for inflation, hence why it is the nominal variable (not adjusted for inflation).
<span>Obviously, the broker is subtly encouraging their clients to buy more stocks. Particularly, when they call with news of stocks that rose more than 10 percents, this will probably motivate people to think the stock is doing well and they want to "get in on the action" while they still can. Even if their calls when a stock goes below 3 percent might encourage some people to sell, the increase of three percents (combined with the 10 percent calls) would definitely be influence to buy.</span>
It is true that Erin has a diversified portfolio as he invest in different investment.
<h3>What is a Portfolio diversification?</h3>
This refers to investing of funds in different asset classes and securities in an attempt to minimize the risk of a portfolio.
Hence, It is true & yes that Erin has a diversified portfolio as he invest in different investment.
Read more about diversification
<em>brainly.com/question/417234</em>
#SPJ1
Answer:
Explanation:
Match the following terms with their definitions.
A. Confusion and Inconvenience :inflation decreases the reliability of the unit of account making it more complicated to differentiate successful and unsuccessful firms thereby impeding the efficient allocation of funds to alternative investments.
B. Shoeleather costs : the resources wasted when inflation induces people to reduce their money holdings.
C. Relative Price Variability : because prices change infrequently, higher inflation causes relative prices to vary more. Decisions based on relative prices are then distorted so that resources may not be allocated efficiently.
D. Unexpected Inflation :inflation decreases the real value of debt thereby transferring wealth from creditors to debtors.
E. Menu costs the cost of more frequent price changes at higher inflation rates.
F. Inflation Induced Tax Distortions
:the income tax is not completely indexed for inflation; an increase in nominal income created by inflation results in higher real tax rates that discourage savings.