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Economics
MEDIUM
ENGLISH
Economics
If borrowers and lenders agree on a nominal interest rate and inflation turns out to be less than they had expected ?
A
neither borrowers nor lenders will gain because the nominal interest rate has been fixed by contract
Option A
B
None of these answers
Option B
C
borrowers will gain at the expense of lenders
Option C
lenders will gain at the expense of borrowers
Correct answer
Correct answer: D
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