Refer to Figure 14.4 below,which shows the inflation rate and ten-year bond yield,for the following questions.
-Between 2006 and 2007,
A) real interest rate was negative.
B) the ten-year bonds nominal interest rate was lower then inflation.
C) real interest rate was higher than nominal interest rate.
D) real interest rate was positive.
E) not enough information
Correct Answer:
Verified
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