If the CPI Increased from 215 to 218 Between the Years

question 180

Short Answer

If the CPI increased from 215 to 218 between the years 2012 and 2013, while the nominal interest rate increased from 3.25% to 3.80%, what is the real interest rate in 2013?

---

Definitions:

Empathy

The ability to understand and share the feelings of another individual.

WIIFM

"What's In It For Me?" - A perspective or approach focusing on the benefits or advantages for an individual or audience.

Acronym

A shortened form of a phrase or series of words, in which each letter stands for a distinct word constituting the phrase.

Audience Anticipation

The expectation or suspense that an audience feels in anticipation of something that is to happen, especially in entertainment or presentations.