If the annual real rate of interest is 4% and the expected inflation rate is 3%,the nominal rate of interest would be approximately
A)4%.
B)3%.
C)1%.
D)5%.
E)none of the above.

Question

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The Answer of If the annual real rate of interest is 4% and the expected inflation rate is 3%,the nominal rate of interest would be approximately
A)4%.
B)3%.
C)1%.
D)5%.
E)none of the above.

If the Annual Real Rate of Interest Is 4% and the Expected