Grades Personalized Reviews Home Discussion Course Materisls Real Interest Rates Graded Assignment Read Chapter 6 Back to Assignment Due Sunday 06.30.19 at 11:45 PM Attempts: Average: /8 3. Unexpected inflation and real interest rates As Aa Julian invests $10,000 in debt securities that mature in one year and have a yield to maturity of i 6.00 % , expecting that the inflation rate will be e- 5.00 % . Therefore, Julian calculates the expected real interest rate as r .A year later, the actual inflation is 8.00 % . Therefore, Julian's realized real interest rate is T because he will be able to buy goods which means that Julian is and services than he expected at the time he invested. (Hint: Remember to enter the negative sign, if the calculated value of the interest rate, either expected or realized, is negative.) ts about unexpected inflation are true? Check all that apply Which of the following statements If the realized real interest rate is lower than the expeted real interest rate, actual inflation is lower than expected inflation. Unexpectedly low inftation helps lenders but hurts borrowers. Generally, higher than expected inflation hurts investors but helps boowers. Borrowers are always worse off when inflation is higher than expected. Save &Contnge Grede t Now Continse thout saine Privecy Notice security Notice Accessibinty Copyright Natices rerms of use DELL