=+ c. A friend proposes a get-rich-quick scheme: borrow from a U.S. bank at 8 percent, deposit

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c. A friend proposes a get-rich-quick scheme:

borrow from a U.S. bank at 8 percent, deposit the money in a Canadian bank at 12 percent, and make a 4 percent profi t. What’s wrong with this scheme?

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Macroeconomics

ISBN: 9781429240024

8th Edition

Authors: N Gregory Mankiw

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