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Suppose Michelle saves money at an interest rate of 5 . 5 % . If she expects the inflation rate to be 2 . 5

Suppose Michelle saves money at an interest rate of 5.5%. If she expects the inflation rate to be 2.5%, but the actual inflation rate is 3.0%. In terms of purchasing power, Michelle is _____ off than expected.
Question 21 options:
better
worse
neither better nor worse

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