Closest approximation to real-risk-free rate of interest

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The closest approximation to the real, risk-free rate of interest is

A) The short-term Treasury bill rate minus the inflation rate.

B) The short-term Treasury bill rate plus the inflation rate.

C) The 10 year Treasury bond rate minus the inflation rate.

D) The 10 year Treasury bond rate minus the 1 year Treasury bill rate.

Reference no: EM13803392

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