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    Principles of Economics Study Set 8
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    Exam 24: Measuring the Cost of Living
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    Suppose the Nominal Interest Rate This Year Is 6
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Suppose the Nominal Interest Rate This Year Is 6

Question 193

Question 193

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Suppose the nominal interest rate this year is 6.5% and that the economy experiences 2.3% deflation. What is the real interest rate?

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