The Nominal Interest Rate Approximately Equals Which of the Following

question 124

Multiple Choice

The nominal interest rate approximately equals which of the following?

• A) the real interest rate plus the growth rate of real GDP
• B) the real interest rate minus the inflation rate
• C) the real interest rate minus the growth rate of real GDP
• D) the real interest rate plus the inflation rate

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Definitions:

Contract

A contract among two or more entities that holds legal enforceability.

Authority

The right or power assigned to an entity or individual to govern, make decisions, or enforce obedience.

Revocation

The official cancellation or annulment of a decree, decision, or promise, typically within legal contexts such as wills, contracts, or licenses.

Renunciation

The formal rejection or abandonment of a claim, right, possession, or responsibility.