Multiple Choice
The real interest rate is 4 percent a year. When the inflation rate is zero, the nominal interest rate is approximately percent a year; and when the inflation rate is 2 percent a year, the nominal interest rate is approximately percent a year.
A) 4; 6
B) 6; 8
C) 0; 2
D) 6; 4
Correct Answer:
Verified
Correct Answer:
Verified
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