Is inflation good or bad for borrowers 2024?
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Works at the International Telecommunication Union, Lives in Geneva, Switzerland.
Inflation is good for borrowers and bad for lenders because it reduces the value of the money paid back to the lenders. The inflation rate is built in to the nominal interest rate, which is the sum of the real interest rate and expected inflation.
2023-05-11 11:14:51
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Isabella Turner
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Inflation is good for borrowers and bad for lenders because it reduces the value of the money paid back to the lenders. The inflation rate is built in to the nominal interest rate, which is the sum of the real interest rate and expected inflation.