If interest rate parity holds and the annual taiwan nominal interest rate is 7% and the us. annual nominal rate is 5% and real interest rates are 2% in both countries, then inflation in taiwan is about than in the u. s. o 1 % lower o 2% lower o 2% higher o 1 % higher

2% higher

Explanation:

Nominal rate = real rate + inflation

In the U.S:

In Taiwan:

The difference between inflations is:

Therefore, then inflation in Taiwan is about 2% higher than in the U.S.

1) the stages a new product goes through from beginning to end, i.e., the stages that a product passes through from introduction through growth, maturity, and decline. 2) the time from initial research and development to the time at which sales and support of the product to customers are withdrawn. 3) the period of time during which a product can be produced and marketed profitably.

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answer; dividing net income by 1- t ;