A measure of the expected rate of inflation can be found by the:
A)yield on index bonds plus the yield on nominal bonds.
B)yield on index bonds minus the yield on nominal bonds.
C)observed rate of inflation minus the yield on real bonds.
D)observed rate of inflation minus the yield on nominal bonds.

Question

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The Answer of A measure of the expected rate of inflation can be found by the:
A)yield on index bonds plus the yield on nominal bonds.
B)yield on index bonds minus the yield on nominal bonds.
C)observed rate of inflation minus the yield on real bonds.
D)observed rate of inflation minus the yield on nominal bonds.

A Measure of the Expected Rate of Inflation Can Be