Which One of the Following Best Describes a Real Interest

question 48

Multiple Choice

Which one of the following best describes a real interest rate?

• A)current rate on a U.S. Treasury bill
• B)nominal rate minus the risk premium on an individual security
• C)market return minus the risk-free rate
• D)nominal rate minus inflation
• E)historical rate rather than a projected rate

---

Definitions:

Behaviors

Actions or reactions of an individual in response to external or internal stimuli, often studied in psychology to understand the underlying factors influencing human actions.

Deprivation

A period of time prior to a training session during which an individual does not experience the reinforcer in order to increase the reinforcer's effectiveness.

Reinforcer

Any stimulus that strengthens or increases the likelihood of a specific response or behavior by being presented immediately after that response or behavior.

Effectiveness

The degree to which a method, intervention, or action achieves its intended outcome or result.