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    Principles of Economics Study Set 12
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    Exam 19: The Spending Allocation Model
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    The Real Interest Rate Is Equal to the Nominal Interest
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The Real Interest Rate Is Equal to the Nominal Interest

Question 19

Question 19

Multiple Choice

The real interest rate is equal to the nominal interest rate


A) minus the rate of expected inflation.
B) plus the rate of expected inflation.
C) minus the unemployment rate.
D) the unemployment rate.

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