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(solution) State whether the following questions are true, false, or


Please help with the attached true/false questions. thank you 


State whether the following questions are true, false, or uncertain. Explain your answer and include a

 

graph if necessary.

 

1.On January 15, 2016 the yield (nominal interest rate earned) on a Canadian government 10 year bond

 

was 1.15%. This implies that the real interest rate may well be negative. (6 MARKS)

 

2. On January 22, 2010 the Canadian dollar exchange rate with the US dollar was 1.4529, and the

 

Japanese Yen exchange rate with the US dollar 116.98. If the buy and sell rates of the various currencies

 

were consistent, then from this data we could conclude that the Canadian dollar was worth 68.83 cents

 

US, and that the Yen exchange rate with the Canadian dollar was 80.51. (6 MARKS) 3. If the unemployment rate decreases, we can be sure that the number of unemployed workers has

 

decreased. (6 MARKS)

 


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