If Andrew is paid an interest rate of 10% on his savings, but the inflation rate is 20%, the real interest rate is:

Name: If Andrew is paid an interest rate of 10% on his savings, but the inflation rate is 20%, the real interest rate is:
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The real interest rate is calculated by subtracting the inflation rate from the interest rate. So, real interest rate = 10% - 20% = -10%. Therefore, Andrew's savings are actually losing purchasing power by 10% due to inflation.

If Andrew Is Paid an Interest Rate of 10% on His