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Select the correct answer from each drop-down menu.
The___ on an investment doesn’t consider the effect of inflation on purchasing power. If the inflation rate is positive, the real return will be___ the nominal return on an investment
First blank options nominal return or real return
Second blank options equal to, greater than, or less than

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If the inflation rate is positive, the real return will be  less than the nominal return on an investment.

What is inflation?

The term inflation refers to the sudden rise in the prices of goods and services. Inflation is usually caused by certain factors.

In order to complete the statement, The nominal return on an investment doesn’t consider the effect of inflation on purchasing power. If the inflation rate is positive, the real return will be  less than the nominal return on an investment.

Learn more about inflation: https://brainly.com/question/1699650

Answer:

first option: real return

Second option: greater than

Step-by-step explanation:

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