Which of the Following Best Describes Nominal Interest Rates and Real

question 162

Multiple Choice

Which of the following best describes nominal interest rates and real interest rates in the 1970s and 1990s?

• A)Nominal interest rates were high in the 1970s, and real interest rates were high in the 1990s.
• B)Nominal interest rates were high in the 1970s, and real interest rates were low in the 1990s.
• C)Nominal interest rates were high in the 1990s, and real interest rates were high in the 1970s.
• D)Nominal interest rates were high in the 1990s, and real interest rates were low in the 1970s.

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