When expected inflation decreases for any given nominal interest rate, all of the following occur except the:

Name: When expected inflation decreases for any given nominal interest rate, all of the following occur except the:
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When expected inflation decreases for any given nominal interest rate, the real interest rate increases (A), the bond supply curve shifts to the left (B), and the price of bonds increases (D). However, the cost of borrowing decreases and the desire to borrow increases (C).

When Expected Inflation Decreases for Any Given Nominal Interest Rate