What is the real interest rate if the nominal interest rate is still 8% but inflation is

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What is the real interest rate if the nominal interest rate is still 8% but inflation is 1%? Does it cost more or less to borrow than when inflation was 3%?

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Macroeconomics

ISBN: 978-0321675606

6th Canadian Edition

Authors: Andrew B. Abel, Ben S. Bernanke, Dean Croushore, Ronald D. Kneebone

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Posted Date: Feb 28, 2024 11:19 PM

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What is the real interest rate if the nominal interest rate is still 8% but inflation is

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The real interest rate can be calculated using the Fishe... View the full answer

Macroeconomics

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