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If the interest rate rises from 1 percent to 3 percent, the-------------------- decreases and the opportunity cost of holding money -------------------- .
Dollar Loss
A decrease in the value of an investment, expressed in dollar terms, compared to its purchase price.
AIG
American International Group, a multinational finance and insurance corporation known for its extensive global operations and services.
Fannie Mae
A government-sponsored enterprise (GSE) in the United States aimed at expanding the secondary mortgage market by securitizing mortgages into mortgage-backed securities.
Capital Stock
The total amount of physical goods a company owns for the purpose of production, including buildings, machinery, and equipment.
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