Which of the Following Statements About the Nominal Interest Rate

Multiple Choice

Which of the following statements about the nominal interest rate (i) is correct?

A) It is the interest rate measured in terms of goods.
B) It is always less than the real interest rate.
C) It is the type of interest rate typically reported in the financial pages of newspapers.
D) It is equal to the expected rate of inflation.
E) It is equal to the real interest rate minus the rate of inflation.