If the bank real interest rate is 4 percent, the percent gain in physical capital gain is 3 percent, the marginal product of capital is 2 percent, and the capital gain of financial capital is 1 percent, what is the percent dividend return?

Question

Quizplus · Accepted Answer

The percent dividend return can be calculated by subtracting the capital gain of financial capital (1%) from the bank real interest rate (4%), resulting in a 1% dividend return.

If the Bank Real Interest Rate Is 4 Percent, the Percent