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If the inflation rate is 3% and the nominal interest rate is 5%, what is the rea

Practice Questions

Q1
If the inflation rate is 3% and the nominal interest rate is 5%, what is the real interest rate?
  1. 1%
  2. 2%
  3. 3%
  4. 4%

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If the inflation rate is 3% and the nominal interest rate is 5%, what is the real interest rate?
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