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Author Question: When the real interest rate is less than zero, then: a. a creditor will gain purchasing power. b. ... (Read 66 times)

cool

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on: Jun 30, 2018
When the real interest rate is less than zero, then:
 a. a creditor will gain purchasing power.
  b. a creditor will just break even on his or her real loan return.
  c. a creditor will lose purchasing power.
  d. a creditor will benefit from inflation.
  e. a creditor's purchasing power will not be affected, because the nominal interest rate is greater than zero.

Question 2

Most disagreements among economists stem from normative issues.
 a. True
  b. False
  Indicate whether the statement is true or false


bulacsom

  • Sr. Member
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  • Posts: 329
Reply #1 on: Jun 30, 2018
Answer to Question 1

c

Answer to Question 2

True


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