A bank lends money for a year at an interest rate of 7%, and the inflation rate for that year turns out to be 5%. what is the bank's real rate of return for that year?

A bank lends money for a year at an interest rate of 7%, and the inflation rate for that year turns out to be 5%. what is the bank's real rate of return for that year?

asked Aug 11, 2023 165k views

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