Question: Any decrease in the rate of inflation will: a. decrease both the real and the nominal rate of interest. o b. decrease the nominal interest

 Any decrease in the rate of inflation will: a. decrease both

Any decrease in the rate of inflation will: a. decrease both the real and the nominal rate of interest. o b. decrease the nominal interest rate while it will not affect the real interest rate. c. increase the nominal interest rate while increasing the real interest rate. O d. increase the nominal interest rate while it will affect the real interest rate. e. ir trease the real interest rate but not affect the nominal interest rate

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