The real interest rate is the nominal interest rate minus the rate of inflation.

Name: The real interest rate is the nominal interest rate minus the rate of inflation.
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This is true. The nominal interest rate reflects the actual interest rate that is charged on a loan or earned on a deposit, while the real interest rate adjusts this rate for the impact of inflation, allowing for a more accurate reflection of the true cost or benefit of borrowing or saving money.

The Real Interest Rate Is the Nominal Interest Rate Minus