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Discuss partial least squares estimation and explain when it is particularly useful.
Real Rate
The interest rate adjusted for inflation, reflecting the true cost of borrowing or the true return on an investment.
Inflation-adjusted
A method of measuring financial amounts after accounting for changes in price levels, preserving true purchasing power over time.
Effective Usury Laws
Regulatory laws that set maximum interest rates on loans, intended to protect consumers from exorbitant or unfair lending practices.
Money Markets
Money markets are financial markets for short-term borrowing and lending, dealing with financial instruments like treasury bills and commercial paper.
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