The real interest rate is defined as the: a. actual interest ...

[P68T]

The real interest rate is defined as the:
 a. actual interest rate.
  b. fixed-rate on consumer loans.
  c. nominal interest rate minus the inflation rate.
  d. expected interest rate minus the inflation rate.

Question 2

This school of thought argues that because people anticipate the consequences of announced government policy and incorporate these anticipated consequences into their present decision making, people end up undermining the government policy. What is it?
 a. Neo-Keynesian.
  b. Keynesian.
  c. Monetarist.
  d. Supply-side.
  e. Rational expectations.

[qytan]

Answer to Question 1

c

Answer to Question 2

e

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[qytan]

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