Question
Suppose that lenders want to receive a real rate of interest of 6%, and that they expect inflation to remain steady at 3% in the
Suppose that lenders want to receive a real rate of interest of 6%, and that they expect inflation to remain steady at 3% in the coming years. Based on this, lenders should charge a nominal interest rate of %?
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Intermediate Microeconomics
Authors: Hal R. Varian
9th edition
978-0393123975, 393123979, 393123960, 978-0393919677, 393919676, 978-0393123968
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