You work for a bank that has just made two loans. In one, you lent $900 today in return for $1200 in one year. In the other, you lent $900 today in return for $10000 in 20 years. The difference between the loan amount and repayment amount is based on an interest rate of 8% per year. Imagine that immediately after you make the loans, news about economic growth is announced that increases inflation expectations, so that the market interest rate for loans like these jumps to 10%. Loans make up a major part of a banks assets, so you are naturally concerned about the value of these loans. What is the effect of the interest rate change on the value to the bank of the promised repayment of these loans?