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1. Why should a rise in the price level (but not in expected inflation) cause interest rates to rise when the nominal money supply is
1. Why should a rise in the price level (but not in expected inflation) cause interest rates to rise when the nominal money supply is fixed?
2. How might a sudden increase in people's expectations of future real estate prices affect interest rates?
3. Will there be an effect on interest rates if brokerage commissions on stocks fall? Explain your answer.
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