If real interest rates are negative, this is good for

1. If real rates of interest are negative, this is good for option C. Borrowers.

Reason:- The real rate of interest refers to the stage of positioning the value of interest towards yielding benefits to borrowers and the lenders with the context of time-preference of paying capacity of the borrowers and parting the money and competing with the bad or the good effects of inflation. The real rate of interest captures the post stage of the nominal rate of interest in which inflation does not take into account. If the real rate of interest is negative, it will benefit the borrowers in terms of a zero interest rate and make the borrowers pay a high rate of interest till the end of the credit period. It also gives the negative shock to the inflation by which it increases the purchasing trends of the borrowers when they buy goods and services with the surplus money but not paying any interest rate.