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. Economists estimate purchasing power to increase substantially in the coming year. Specifically, they estimate an increase of 7.9%. Meanwhile, inflation is estimated to be
. Economists estimate purchasing power to increase substantially in the coming year. Specifically, they estimate an increase of 7.9%. Meanwhile, inflation is estimated to be a robust 3.25%. Assuming these estimates are right, and using the exact relationship between inflation and interest rates, what rate of interest can you expect to earn on your wealth?
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