Question
The expected inflation rate is 4.2% per annum.If Loans-4-U Ltd offers you a loan at a nominal interest rate of 11.1% per annum, what is
The expected inflation rate is 4.2% per annum.If Loans-4-U Ltd offers you a loan at a nominal interest rate of 11.1% per annum, what is the real interest rate on the loan?
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Get StartedRecommended Textbook for
Public Finance
Authors: Harvey Rosen, Ted Gayer
10th edition
9781259716874, 78021685, 1259716872, 978-0078021688
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