Explain the effect that inflation has on the financial positions of borrowers and lenders. If you managed a bank, what interest rate would you charge to overcome the disadvantage of long term inflation?

More context .

France played a key role in the american revolutionary war (american war of independence; 1775–1783). motivated by the ideals of the new nation which were inspired by the french enlightenment, as well as its long-term rivalry with britain and so as to avenge their territorial losses during the french and indian war, france secretly began sending supplies to the americans in 1775.