Cryptocurrency Q&A What is the real interest rate in finance?

What is the real interest rate in finance?

Andrea Andrea Sun Nov 03 2024 | 8 answers 1665
I'm trying to understand finance and I'm curious about the concept of real interest rate. What exactly is it and how does it differ from the nominal interest rate? What is the real interest rate in finance?

8 answers

SamuraiBrave SamuraiBrave Tue Nov 05 2024
Inflation plays a significant role in determining the real interest rate.

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SolitudeSeeker SolitudeSeeker Tue Nov 05 2024
Investors also pay close attention to the real interest rate.

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isabella_bailey_economist isabella_bailey_economist Tue Nov 05 2024
To calculate the real interest rate, a simple mathematical operation is performed.

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ShintoSpirit ShintoSpirit Tue Nov 05 2024
The result of this subtraction is the real interest rate.

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benjamin_brown_entrepreneur benjamin_brown_entrepreneur Tue Nov 05 2024
For lenders, a higher real interest rate is beneficial.

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