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Question : Which of these statements about interest rates and inflation true?
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Which of these statements about interest rates and inflation is true?

a. The real interest rate is equal to the nominal interest rate plus the inflation rate.

b. The real interest rate is equal to the nominal interest rate divided by the inflation rate

c.. If there is zero inflation, the nominal interest rate is equal to the real interest

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Solution
5 (1 Ratings )

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