The Fisher equation relates real (R) and nominal (i) interest rates to the rate of inflation ().
Question:
(a) R = 1%, π = 3%. What is i?
(b) π = 5%, i = 10%. What is R?
(c) R = 2%, i = 6%. What is π?
(d) R = 1%, π = 12%. What is i?
(e) π = 6%, i = 2%. What is R?
(f) R = 1%, i = 10%. What is π?
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