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What are the determinants of the nominal interest rate in the medium run? Based on your answer,to what extent can monetary policy affect the nominal interest rate in the medium run? Briefly explain.And finally,to what extent can fiscal policy affect the nominal interest rate in the medium run? Briefly explain.
Standard Deviation
A statistical measure that quantifies the amount of variation or dispersion of a set of values.
Expected Returns
The anticipated return on an investment, usually based on historical data and analysis of potential future events.
Diversification
Diversification is an investment strategy that involves spreading investments across various financial instruments, industries, and other categories to reduce exposure to any single asset or risk.
Increase Risk
The action or process of raising the level of danger or the chance of loss in a financial investment or business venture.
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