which of the following decades was characterized by the highest inflation rate in the United States?...
which of the following decades was characterized by the highest inflation rate in the United States?
a 1920s
b. 1930s
c.1950s
d.1970
e.1960
Homework Answers
Since inflation is the rise in the over all price level in the economy.
Inflation rate=[ (CPI of last year- CPI of current year)/ CPI of last year]*100
Since the introduction of the CPI, the highest inflation rate which had been observed was 19.66 percent in 1917.
It means the highest inflation rate was in the decades of 1920s.
Hence option a is the correct answer.
Add Answer to:
which of the following decades was characterized by the highest
inflation rate in the United States?...
Evidence from the past seven decades in the United States supports the Fisher effect and shows...
Evidence from the past seven decades in the United States supports the Fisher effect and shows that when the inflation rate is low for a few years, the ______ interest rate tends to be ______. a. nominal; high b. nominal; low c. real; high d. real; low
The Great Depression lasted most of which decade? a the 1940s b the 1920s c the...
The Great Depression lasted most of which decade? a the 1940s b the 1920s c the 1930s d the 1910s e the 1950s
2 Understanding and Calculating Inflation Real and Nominal Interest Rates in the United States, 1960-2015 Percent...
2 Understanding and Calculating Inflation Real and Nominal Interest Rates in the United States, 1960-2015 Percent 16 14 Nominal Real 1960 1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 2015 Year Figure 2: Real and nominal interest rates in the US, 1960-2015 1. State the Fisher equation. What do the three variables in Fisher's equation represent? 2. Consider Figure 2. Why do negative real interest rates occur? Are they a problem for the economy? 3. In Figure 2,...
Refer to the diagram to the right where a nominal interest rate (the 6-month annualized Treasury...
Refer to the diagram to the right where a nominal interest rate (the 6-month annualized Treasury rate) and the rate of inflation are plotted. In which of the three decades (1970-79, 1980-89, 1990-99) is the inflation rate the e 14- a 13 most stable? The inflation rate is most stable during the In which of the three decades does the economy experience disinflation? Disinflation is experienced during the In which of the three decades is the real interest rate, on...
In the United States between 1973 and 2013, the inflation rate... A. increased every year B....
In the United States between 1973 and 2013, the inflation rate... A. increased every year B. only increased in late 90s c. increased in late 70s-80s D. peaked during late 70s-90s E. has been relatively constant at approximately 4 percent to 6 percent per year
Suppose that, in the United States, the inflation rate is at 3.2 percent (the target inflation...
Suppose that, in the United States, the inflation rate is at 3.2 percent (the target inflation rate is 2 percent). Rapidly rising prices and low interest rates have spurred business to hire more workers and invest in new facilities. Given the circumstances, the countercyclical monetary policy adopted by the Federal Reserve is likely to result in a(n) ▼ a. increase in federal funds rate b. decrease ins Reserve requirement c. expansion of access to credit Would countercyclical policy still be...
5. In the United States, money is backed by: Select one: a. no physical commodity. b....
5. In the United States, money is backed by: Select one: a. no physical commodity. b. gold. c. None of these answers is correct. d. oil e. silver. 6. Practically, in the long run the real interest rate is equal to: Select one: a. the marginal product of capital. b. the rate of return to long-term bonds. c. a savings account. d. the return to stock markets. e. the return to housing. 7. Figure 9.5: U.S. Inflation 1960-2015 PERCENT 2012...
You observe that the inflation rate in the United States is 1.9 percent per year and...
You observe that the inflation rate in the United States is 1.9
percent per year and that T-bills currently yield 2.4 percent
annually. Use the approximate international Fisher effect to answer
the following questions.
a.
What do you estimate the inflation rate to be in Australia, if
short-term Australian government securities yield 4 percent per
year? (Enter your answer as a percent rounded to 1 decimal
place, e.g., 32.1.)
b.
What do you estimate the inflation rate to be in...
The United States is currently experiencing a 2% unemployment rate, a 11% inflation rate and real...
The United States is currently experiencing a 2% unemployment rate, a 11% inflation rate and real GDP is rising rapidly. Answer the following questions in detail and use complete sentences: Who is in charge of monetary policy in the United States? What type of monetary policy does this economy need and why? What are the tools of the prescribed monetary policy and how would they change in response to this economic situation? How would this policy affect interest rates and...
14. Among men in the United States, prostate cancer has the highest death rate but not...
14. Among men in the United States, prostate cancer has the highest death rate but not the highest incidence. True False
2 Understanding and Calculating Inflation Real and Nominal Interest Rates in the United States, 1960-2015 Percent 16 14 Nominal Real 1960 1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 2015 Year Figure 2: Real and nominal interest rates in the US, 1960-2015 1. State the Fisher equation. What do the three variables in Fisher's equation represent? 2. Consider Figure 2. Why do negative real interest rates occur? Are they a problem for the economy? 3. In Figure 2,...
Refer to the diagram to the right where a nominal interest rate (the 6-month annualized Treasury rate) and the rate of inflation are plotted. In which of the three decades (1970-79, 1980-89, 1990-99) is the inflation rate the e 14- a 13 most stable? The inflation rate is most stable during the In which of the three decades does the economy experience disinflation? Disinflation is experienced during the In which of the three decades is the real interest rate, on...
5. In the United States, money is backed by: Select one: a. no physical commodity. b. gold. c. None of these answers is correct. d. oil e. silver. 6. Practically, in the long run the real interest rate is equal to: Select one: a. the marginal product of capital. b. the rate of return to long-term bonds. c. a savings account. d. the return to stock markets. e. the return to housing. 7. Figure 9.5: U.S. Inflation 1960-2015 PERCENT 2012...
You observe that the inflation rate in the United States is 1.9
percent per year and that T-bills currently yield 2.4 percent
annually. Use the approximate international Fisher effect to answer
the following questions.
a.
What do you estimate the inflation rate to be in Australia, if
short-term Australian government securities yield 4 percent per
year? (Enter your answer as a percent rounded to 1 decimal
place, e.g., 32.1.)
b.
What do you estimate the inflation rate to be in...
Most questions answered within 3 hours.
-
Where is the error in this code sequence?
String s1 = "Hello";
String s2 = "ello";...
asked 11 months ago -
Financial data for Joel de Paris, Inc., for last year
follow:
Joel de Paris, Inc.
Balance...
asked 11 months ago -
Consider this reaction:
Al2(SO4)3 (aq)+ BaCl3
(aq) Al2Cl6 (aq)- +
3BaSO4(s) . What is the...
asked 11 months ago -
Suppose that Savneet is considering increasing her
recent random sample from 20 car rentals to 40...
asked 11 months ago -
Trucks arrive at an unloading terminal at an average rate of 120
per hour.
Trucks arrive...
asked 11 months ago -
Why are methanol and ethanol completely soluble in water while
octanol is not very little soluble....
asked 11 months ago -
A facilities manager at a university reads in a research report
that the mean amount of...
asked 11 months ago -
When the CuSO4 is rehydrated by adding water to the anhydrous
compound, is this an endothermic...
asked 11 months ago -
A ray of sunlight is passing from diamond into crown glass; the
angle of incidence is...
asked 11 months ago -
A block of mass 0.249 kg is placed on top of a light, vertical
spring of...
asked 11 months ago -
how do the kidneys compensate in the presences of acidosis
a) trigger hyperventilate
b) reserve acid...
asked 11 months ago -
Question 501 pts
The rental rate of capital to the firm increases. Which of the
following...
asked 11 months ago