What is Real Interest Rate?
In the complex world of finance, the real interest rate is a fundamental concept that plays a crucial role in shaping economic decisions. To put it simply, the real interest rate represents the nominal interest rate adjusted for inflation, providing a more accurate picture of the true cost of borrowing or the potential return on investment.
Understanding the concept of real interest rate is of utmost importance for individuals, businesses, and policymakers alike, as it can significantly impact financial planning and economic growth.
Factors Influencing Real Interest Rate
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