If the inflation rate was 3.00% and the nominal interest rate was 4.60% over the last year, what was the real rate of interest over the last year? Disregard cross-product terms; that is, if averaging is required, use the arithmetic average. Round intermediate calculations to four decimal places.

1.60%

Explanation:

So, Real Interest rate = Nominal Interest rate - Inflation rate

Real interest rate = 4.60% - 3.00%

Hence, Real interest rate = 1.60%

answer is i don't know

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