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    Macroeconomics Study Set 17
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    Exam 9: Unemployment and Inflation
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    The Nominal Interest Rate Will Be Less Than the Real
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The Nominal Interest Rate Will Be Less Than the Real

Question 188

Question 188

Multiple Choice

The nominal interest rate will be less than the real interest rate when


A) the rate of inflation is positive but decreasing.
B) the rate of inflation is positive and increasing.
C) the rate of inflation is negative.
D) the real interest rate is negative.

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