The Real Interest Rate Must Be

question 17

Multiple Choice

The real interest rate must be

• A)high if the nominal interest rate is high.
• B)high if the inflation rate is greater than the nominal interest rate.
• C)low if the nominal interest rate is high.
• D)positive if the nominal rate of interest is greater than the rate of inflation.
• E)negative if the nominal rate of interest is greater than the rate of inflation.

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Definitions:

Serial Killers

Individuals who commit a series of murders over a period of time, often with a characteristic pattern or method.

Insane

A term historically used to describe severe mental disorder or illness, often implying a detachment from reality, but considered outdated and stigmatizing in modern contexts.

Death Penalty

A governmental sanction where a person is put to death by the state as punishment for a crime.

Deterrent

A factor, condition, or threat that discourages individuals from engaging in particular behaviors, often used in the context of crime prevention.