You can calculate the real interest rate by subtracting the rate of inflation from the nominal interest rate. Here's the formula: Real interest rate = nominal interest rate - rate of inflation ...

Real interest rates are dictated by the rate of inflation. Higher inflation rates erode consumers’ purchasing power and the amount of interest earned from investments such as deposits.

Multiple economic factors influence interest rates. Three types of interest rates, including real, nominal, and effective affect consumers' borrowing and investment choices. The nominal interest ...

Governments use economic growth metrics to shape public policy and budgets, while policymakers use real GDP when determining interest rates, tax rates, and trade policies. The GDP growth rate ...

The formula for simple interest requires your initial principal balance, annual interest rate, and time in years. Say you put a sum of $800 into a savings vehicle with a 5% annual simple interest ...

The formula for calculating savings account interest uses the initial deposit, the annual interest rate and the years of growth. Compound interest earns the account holder more than simple ...