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Basic Question 2 of 3
Which rate COULD potentially exceed the growth rate of potential GDP in the long run?
B. The growth rate of stock market price performance.
C. The nominal interest rate.
A. The growth rate of earnings.
B. The growth rate of stock market price performance.
C. The nominal interest rate.
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I used your notes and passed ... highly recommended!
Lauren
Learning Outcome Statements
describe the relation between the long-run rate of stock market appreciation and the sustainable growth rate of the economy;
explain why potential GDP and its growth rate matter for equity and fixed income investors;
CFA® 2024 Level II Curriculum, Volume 1, Module 9.