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The interest rate is 13% while the expected inflation rate is 15%. Which of the following is true regarding this observation? ____ A) The real

The interest rate is 13% while the expected inflation rate is 15%. Which of the following is true regarding this observation?

____

A) The real interest rate is roughly 2%

B) The lender earns 13% interest at the expense of the borrower from a loan

C) The borrower is subsidized by the lender in a loan

D) None of the above

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