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    Macroeconomics Study Set 12
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    Exam 8: Inflation
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    If the Nominal Interest Rate Is 8% and the Inflation
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If the Nominal Interest Rate Is 8% and the Inflation

Question 90

Question 90

Multiple Choice

If the nominal interest rate is 8% and the inflation rate is 3%, then the real interest rate is:


A) 4%.
B) 8%.
C) 3%.
D) 5%.

Correct Answer:

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