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The production possibilities curve shows:
Actual Interest Rate
The real rate of interest earned or paid on an investment, loan, or other financial product, taking into account the effects of compounding.
Non-Interest-Bearing Note
A financial instrument or promissory note that does not accrue interest over time, meaning the borrower repays only the principal amount.
Discount Rate
The interest rate charged to commercial banks and other financial institutions for loans received from a country's central bank.
Actual Interest Rate
The actual rate of interest earned or paid on an investment or loan, considering compounding and other factors, as opposed to the nominal rate.
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