Multiple Choice
Which of the following statements is correct?
A) The interest rate that is usually reported is the interest rate that has been corrected for inflation.
B) The supply of,and demand for,loanable funds depend on the real (rather than nominal) interest rate.
C) If the nominal interest rate has decreased and the real interest rate has also decreased,then the inflation rate must have decreased as well.
D) All of the above are correct.
Correct Answer:
Verified
Correct Answer:
Verified
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