Level of nominal interest rates

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Reference no: EM13910860

What effect would each of the following events likely have on the level of nominal interest rates?

1. Households dramatically increase their savings rate.

2. Corporations increase their demand for funds following an increase in investment opportunities.

3. The government runs a larger-than-expected budget deficit.

4. There is an increase in expected inflation.

Reference no: EM13910860

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