Nominal Interest Rate vs Real Interest Rate

Nominal Interest Rates vs. Real Interest Rates

Interest rates are a fundamental part of financial economics. They help us evaluate and compare different investments or loans over time. However, if we compare financial data over time, we have to consider the effects of inflation. This is why we distinguish between two different types of interest rates in […]

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The Three Economic Sectors

The Three Economic Sectors

According to the three-sector theory, all economic activity can be classified into one of three sectors: the primary sector, the secondary sector and the tertiary sector. As a rule of thumb, we say the more advanced an economy is, the more its focus shifts from the primary, through the secondary […]

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