-Based on the above table, if the current price level is 100 and the unemployment rate is 4 per cent, then the
A) inflation rate is 108 per cent.
B) inflation rate is 8 per cent.
C) inflation rate is 2.8 per cent.
D) expected inflation rate is 8 per cent.
E) expected inflation rate is 2.8 per cent.

Question

-Based on the above table, if the current price level is 100 and the unemployment rate is 4 per cent, then the
A) inflation rate is 108 per cent. 
B) inflation rate is 8 per cent. 
C) inflation rate is 2.8 per cent. 
D) expected inflation rate is 8 per cent. 
E) expected inflation rate is 2.8 per cent.

Quizplus · Accepted Answer

The Answer of 
-Based on the above table, if the current price level is 100 and the unemployment rate is 4 per cent, then the
A) inflation rate is 108 per cent. 
B) inflation rate is 8 per cent. 
C) inflation rate is 2.8 per cent. 
D) expected inflation rate is 8 per cent. 
E) expected inflation rate is 2.8 per cent.

-Based on the Above Table, If the Current Price Level