What Is the Real Rate of Interest

question 167

Multiple Choice

What is the real rate of interest?

• A)It is the interest rate charged on long-term government bonds.
• B)It is the interest rate that can be earned on gilt-edged securities.
• C)It is the interest rate which banks charge their best customers.
• D)It is the interest rate measured in constant dollars.

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Definitions:

Discriminate

To treat someone or something differently or unjustly, often based on characteristics like race, age, gender, etc., rather than individual merit.

Hiring

The action of starting a legal relationship between an employer and employee where the employee performs work under certain conditions in exchange for remuneration.

Union Membership

The state or condition of being a member of a labor union, which represents workers in specific industries or professions in negotiations over wages, benefits, and working conditions.

United States

A country in North America consisting of 50 states, a federal district, five major self-governing territories, and various possessions.