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If the Nominal Rate of Interest Is 6% and the Inflation

Question 52

Multiple Choice
If the nominal rate of interest is 6% and the inflation rate is 3%, what is the real rate of interest? A)-9.5% B)-305% C)1.5% D)3%

If the nominal rate of interest is 6% and the inflation rate is 3%, what is the real rate of interest?


A) -9.5%
B) -305%
C) 1.5%
D) 3%

Correct Answer:

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