Luigi is willing to lend Klaus $5,000 for one year at a nominal rate of interest of 7%. Both Luigi and Klause expect the rate of inflation to be 2% in the next year. How much additional purchasing power will Luigi have in one year

Policymakers are provided data about the private and social benefits of a good being sold in the market. quantity private mb ($) social mb ($) 6 6 9 7 4 7 8 2 5 9 0 3 what is the size of the externality? if the externality is positive, enter a positive number. if negative, make it a negative number. $ given this data, policymakers must decide whether to address the associated externality with a subsidy or a tax. as their economic consultant, which of the two policy tools would you recommend? a subsidy a tax

Self-interest achieve society’s economic goals because producers know which goods consumers want the most. as consumers and producers exercise their freedom to act in their own self-interest, markets will produce the desired goods at the lowest possible cost. consumers and producers both operate based on society’s economic goals. consumers know which goods can be produced at the lowest cost. there is a wide variety of desired goods and services in a market system because producers determine what to produce. consumers change their minds frequently. there is always a need to produce something new and improved. individual wants are diverse. what is produced is ultimately determined by consumers, because if the goods offered are not what consumers want, consumers will not buy them. producers, because they are driven by profits. producers, because they determine what to produce. consumers, because they participate in marketing surveys.

How much of your paycheck do you have immediate access to once you deposit it into your bank account a. all of it b. a portion of it c. none of it