The nominal interest rate minus the real interest rate approximately equals the
A) rate of increase in the amount of investment.
B) inflation rate.
C) the rate of increase in the income.
D) the rate the bank receives to cover lending costs.
Correct Answer:
Verified
Q38: Q44: When the inflation rate is positive, the Q58: The real interest rate Q60: The _ interest rate approximately equals the Q64: If people expect an inflation rate of Q67: Suppose that, initially, the nominal interest rate Q69: The _ the expected profit, the greater Q77: If the nominal interest rate is 7 Q79: Which of the following are major influences Q88: If the real interest rate increases from
A)
A) can never be
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