Ai lun, a management trainee at a large new yorkdashbased bank, is trying to estimate the real rate of return expected by investors. he notes that the 3dashmonth tdashbill currently yields 3 percent, and consumer prices have been rising steadily at a 2% rate for several years. what should ai lun's estimate of the real rate be?

Ray gives his son, mason, three bowls. these bowls have the same capacity, but each one differs slightly in its shape and size. ray tells his son that one of the bowls can hold more liters of oil than the other two bowls. mason points out that all the bowls, though may appear different in size and shape, can store the same volume of oil. in this case, ray was most likely testing mason's concept of