If the tax rate is 40 percent, compute the before tax real interest rate and the after-tax

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If the tax rate is 40 percent, compute the before tax real interest rate and the after-tax real interest rate in each of the following cases.
a. The nominal interest rate is 10 percent, and the inflation rate is 5 percent.
b. The nominal interest rate is 6 percent, and the inflation rate is 2 percent.
c. The nominal interest rate is 4 percent, and the inflation rate is 1 percent

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Principles of economics

ISBN: 978-0538453042

6th Edition

Authors: N. Gregory Mankiw

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