Effects of Unanticipated Inflation
Evaluate as accurately as you can how each of the following individuals would be affected by unanticipated inflation of 10 percent per year:
a. A pensioned railroad worker
b. A department store clerk
c. A unionized automobile assembly line worker
d. A heavily indebted farmer
e. A retired business executive whose current income comes entirely from interest on government bonds
f. The owner of an independent small town department store