Here's the question you clicked on:

55 members online
  • 0 replying
  • 0 viewing

JingleBells

  • 3 years ago

Real Interest Rate r=i-inflation i.e. i=r+inflation so does that mean theoretically there will be negative i when deflation is larger than r? Then who would be willing to lend money and if there are people willing what rate would be fair?

  • This Question is Open

    Not the answer you are looking for?
    Search for more explanations.

    • Attachments:

Ask your own question

Sign Up
Find more explanations on OpenStudy
Privacy Policy