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Which of the following statements is correct? a . The real interest rate is the sum of the nominal interest rate and the inflation rate.
Which of the following statements is correct?
a The real interest rate is the sum of the nominal interest rate and the inflation rate.
b The real interest rate is the nominal interest rate minus the inflation rate.
c The nominal interest rate is the inflation rate minus the real interest rate.
d The nominal interest rate is the real interest rate minus the inflation rate.
e None of the answer choices are correct.
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