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2) In which of the following situations would you prefer to be the lender? i) The interest rate is 9 percent and the expected inflation

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2) In which of the following situations would you prefer to be the lender? i) The interest rate is 9 percent and the expected inflation rate is 8 percent. ii) The interest rate is 4 percent and the expected inflation rate is 1 percent. 111) The interest rate is 13 percent and the expected inflation rate is 15 percent iv) The interest rate is 25 percent and the expected inflation rate is 50 percent

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