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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 am using your study notes and I know of at least 5 other friends of mine who used it and passed the exam last Dec. Keep up your great work!
Barnes
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® 2025 Level II Curriculum, Volume 1, Module 9.