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If the competitive real rate of interest is 4% and the expected rate is 7%, a loan at 14% means that: a) none of the

If the competitive real rate of interest is 4% and the expected rate is 7%, a loan at 14% means that:

a) none of the above

b) the borrower paid less than a 4% real return

c) the lender received more than a 4% real return

d) the borrower exploited the lender

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