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Inflation was 2% last year. Thomas forecasts that inflation is going to increase to 4% thi

Inflation was 2% last year. Thomas forecasts that inflation is going to increase to 4% this year. Based on this forecast, Thomas most likely believes that:

The nominal rate will decrease.

The real rate will decrease and the nominal rate will increase.

The real rate will decrease.

The nominal interest rate will increase.

Inflation was 2% last year. Thomas forecasts that inflation is going to increase to 4% this year. Based on this forecast, Thomas most likely believes that:

Dec 04 2019 View more View Less

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