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fesingizzymon fesingizzymon
  • 22-10-2015
  • Social Studies
Answered

What happens to the future value of money when the inflation rate exceeds the interest rate?

AStays the same
BDecreases
CIncreases
DNot enough information

Verified Answer :

WorldCitizen WorldCitizen
  • 22-10-2015

inflation means that the value of money decreases. If it decreases faster than the interest rate makes the amount of money raise, the value will be decreased - option B.

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