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The interest rate compensates A.) bankers for their time spent on paperwork B.)

ID: 1100671 • Letter: T

Question

The interest rate compensates

A.) bankers for their time spent on paperwork

B.) borrowers for their increased consumption today

C.) savers for consumption forgone today

D.) consumers for more consumption today

E.) the Fed for its efforts to control the money supply

A.) bankers for their time spent on paperwork

B.) borrowers for their increased consumption today

C.) savers for consumption forgone today

D.) consumers for more consumption today

E.) the Fed for its efforts to control the money supply

Explanation / Answer

C.) savers for consumption forgone today