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The Nominal Interest Rate Is

Question 60

Multiple Choice

The nominal interest rate is


A) the rate of interest charged to most large commercial borrowers.
B) equal to the real interest rate minus the inflation rate.
C) the rate charged on loans for automobiles and other personal loans but not the rate charged on home loans.
D) the interest rate that is not corrected for inflation.
E) the interest rate that is corrected for inflation.

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