Define fisher effect-00192
This subjective question is related to the book/course
vu cs101 Introduction to Computing.
It can also be found in
vu cs101 Mid Term Solved Past Paper No. 1.
Question 1: Define fisher effect
The relationship between real and nominal returns is described by the Fisher Effect.
Let: R = the nominal return
r = the real return
h = the inflation rate.
Answer:
The Fisher Effect
The relationship between real and nominal returns is described by the Fisher Effect.
Let: R = the nominal return
r = the real return
h = the inflation rate.
