Assume that domestic nominal interest rates decrease while domestic real interest rates increase.We can
A)expect an outflow of capital to countries abroad
B)expect a loss in competitiveness
C)assume that the domestic inflation rate has probably increased
D)expect a depreciation of the domestic currency
E)all of the above

Question

Quizplus · Accepted Answer

The Answer of Assume that domestic nominal interest rates decrease while domestic real interest rates increase.We can
A)expect an outflow of capital to countries abroad
B)expect a loss in competitiveness
C)assume that the domestic inflation rate has probably increased
D)expect a depreciation of the domestic currency
E)all of the above

Assume That Domestic Nominal Interest Rates Decrease While Domestic Real