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Sagot :
Final answer:
Interest rates reflect inflation effects and investment risks.
Explanation:
Interest rates reflect the potential effects of inflation and the level of risk in an investment. Changes in interest rates can influence economic expectations, investment decisions, and asset prices. For example, low interest rates can lead to economic bubbles in real estate and stocks when excessive investments occur.
Learn more about Interest rates here:
https://brainly.com/question/42990763
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