Question: What is a nominal interest rate? Multiple choice question. A nominal interest rate is the market rate of interest minus the inflation premium. A nominal

What is a nominal interest rate?
Multiple choice question.
A nominal interest rate is the market rate of interest minus the inflation premium.
A nominal interest rate is the rate on a default-free loan minus the inflation premium.
A nominal interest rate is the rate observed in the financial markets.
A nominal interest rate is the base rate excluding inflation, default risk, and liquidity risk.

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