If the Inflation Rate Is Zero, the Nominal Interest Rate

question 76

Multiple Choice

If the inflation rate is zero, the nominal interest rate is

• A) greater than the real interest rate.
• B) less than the real interest rate.
• C) equal to the real interest rate.
• D) equal to the inflation rate.
• E) positive and the real interest rate is negative.

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Definitions:

Coccygeus

A small muscle located in the pelvic area, playing a part in supporting the pelvic organs.

Pelvic Floor

The pelvic floor is a group of muscles and ligaments in the pelvic area that support the organs in the pelvis like the bladder, intestines, and, in women, the uterus.

Coccyx

The small, triangular bone at the base of the spinal column, often referred to as the tailbone, which is the remnant of a human tail.

Internal Intercostal

Muscles located between the ribs that play a role in the forced expiration of air from the lungs.