interest rate differencial case
of large economy
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7 Main Causes of Difference in Interest Rate
Cause # 1. Differences in Risk:
Cause # 2. Period of Loan:
Cause # 3. Volume of Loan:
Cause # 4. Nature of Security:
Cause # 5. Financial Standing of the Borrower:
Cause # 6. Market Imperfection:
Cause # 7. Variation in Demand and Supply of Money:
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