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You Are an Entrepreneur About to Start Your First Business

Question 27

Multiple Choice

You are an entrepreneur about to start your first business.Based on this statement,you


A) are most likely to be a borrower concerned mostly about the real interest rate you will earn.
B) are most likely to be a lender concerned mostly about the real interest rate you will earn.
C) are most likely to be a borrower concerned mostly about the nominal interest rate you will earn.
D) are most likely to be a lender concerned mostly about the nominal interest rate you will earn.
E) would only be concerned with whether inflation was greater or less than the nominal rate of interest based on the Fisher equation.

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