Question
In 1975, interest rates were 7.85% and the rate of inflation was 12.3% in the United States. What was the real interest rate in 1975?
In 1975, interest rates were
7.85%
and the rate of inflation was
12.3%
in the United States. What was the real interest rate in 1975? How would the purchasing power of your savings have changed over the year? (Note: Be careful not to round any intermediate steps less than six decimal places.)
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Physics
Authors: James S. Walker
5th edition
978-0133498493, 9780321909107, 133498492, 0321909100, 978-0321976444
