If both borrowers and lenders anticipate the rate of inflation correctly, then

a. borrowers will lose real income.
b. lenders will lose real income.
c. both borrowers and lenders will lose real income.
d. neither borrowers nor lenders will lose real income.

D

Economics

You might also like to view...

Trade restrictions can take any of the following forms except one. Which is the exception?

a. tariffs b. free trade agreements c. quotas d. voluntary trade restrictions e. health and safety restrictions

Economics

Real GDP is nominal GDP adjusted for

a. price changes b. intermediate goods c. business cycle fluctuations d. international trade e. depreciation

Economics