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4 10. percent, what is the approximate real rate of interest? The exact real rate? Inflation and Nominal Returns Suppose the real rate is 1.8

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4 10. percent, what is the approximate real rate of interest? The exact real rate? Inflation and Nominal Returns Suppose the real rate is 1.8 percent and the inflation rate is 3.7 percent. What rat would you expect to see on a Treasury bill? Nominal and Real Returns An investment offers a total return of 12 percent over the coming year. Alex Hamilton

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