Which of the following kinds of variables are interest rates adjusted for the effects of inflation?
A)nominal variables
B)real variables
C)classical variables
D)dichotomous variables

Question

Quizplus · Accepted Answer

Real variables are adjusted for the effects of inflation. Nominal variables, on the other hand, are not adjusted for inflation and reflect the current market value, including the effects of inflation. Classical and dichotomous variables are not related to inflation adjustments.

Which of the Following Kinds of Variables Are Interest Rates