Suppose that inflation in australian was expected to equal


Suppose that inflation in Australian was expected to equal 6 per cent in 2015, but prices rose by only 3 per cent. How would this unexpectedly low inflation rate help or hurt each of the following?

a. The federal government

b. A homeowner with a fixed-rate mortgage

c. A worker with a 5-year fixed-term wage contract

d. A casual worker who has no labour contract

e. A private school that has invested some of its endowment in government bonds.

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Business Economics: Suppose that inflation in australian was expected to equal
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