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Basic Question 1 of 5

A higher GDP growth should lead to an increase in ______.

A. inflation rate
B. real default-free interest rate
C. risk premiums

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Lina

Lina

Learning Outcome Statements

explain the relationship between the long-term growth rate of the economy, the volatility of the growth rate, and the average level of real short-term interest rates;

CFA® 2025 Level II Curriculum, Volume 6, Module 37.