In Most Countries, the Nominal Interest Rate Is _____ Than

question 97

Multiple Choice

In most countries, the nominal interest rate is _____ than the real interest rate because inflation is:

• A) higher; positive.
• B) higher; negative.
• C) lower; positive.
• D) lower; negative.

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Definitions:

USA

A country located in North America, known formally as the United States of America, comprising 50 states, a federal district, five major self-governing territories, and various possessions.

Proprietary Income

Income generated from the ownership of proprietary technology, information, or processes that gives a firm a competitive advantage.

Government-sponsored Businesses

Enterprises that are initiated and sometimes funded by the government but are operated under private ownership or public-private partnership.

Public Utilities

Essential services provided by both government and private sectors including water, electricity, and transportation.