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Please ram 45 o I 2.5 93 Say that initially the nominal interest rate is 9% and prices are stable, but the ination rate the

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ram 45 o I 2.5 93 Say that initially the nominal interest rate is 9% and prices are stable, but the ination rate the following year rises to 6%. If the real rate of interest is to remain unchanged, the nominal interest rate in the second year must: rise by 9 percentage points. rise by 6 percentage points. I rise by 3 percentage points. remain unchanged

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