The Nominal Interest Rate Is

question 81

Multiple Choice

The nominal interest rate is:

• A) the interest rate not adjusted for inflation
• B) the "advertised" interest rate
• C) a description of the return in units of currency
• D) All of these answers are correct.
• E) None of these answers are correct.

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Definitions:

Conditioned Response

A response that is learned when a neutral stimulus is regularly presented together with a stimulus that naturally triggers a reaction, transforming the neutral stimulus into a conditioned one.

Conditioned Stimulus

A formerly neutral signal that, through linkage with an unconditioned stimulus, eventually elicits a conditioned reaction.

Classical Conditioning

A learning process where a neutral stimulus becomes associated with a meaningful stimulus, eliciting a conditioned response.

Systematic Desensitization

A behavioral therapy technique used to reduce phobic responses and anxiety through gradual exposure to the feared object or situation paired with relaxation techniques.