In some countries where there is high inflation, the annual inter

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In some countries where there is high inflation, the annual interest rate is more than 50

In some countries where there is high inflation, the annual interest rate is more than 50 percent, while in other countries such as the U.S. and many European countries, the annual interest rates are typically less than 10 percent. Do you think such a large interest rate differential is primarily attributed to the difference in the risk-free rates or to the difference in the credit risk premiums between countries? Explain.

Abhinav 03-Dec-2019

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In some countries where there is high inflation, the annual interest rate is more than 50

In some countries where there is high inflation, the annual interest rate is more than 50

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