How real is the hundredth rate? Nominal and real rate for the deposit
The interest rate is the value of the annual payments per installment capital for the first period (sound as a stretch). It is insured as an absolute amount of interest payments for rivers up to the value of the position capital.
Razrіznyayut nominal and real rates vіdsotka. If we talk about high-density rates, then we think about real high-density rates. However, real rates cannot be blindly judged. When laying down a credit agreement, we will take information about nominal rates.
Nominal per cent rate - per cent per penny. The real interest rate is the value of the increase in real wealth, which is reflected in the increase in the purchasing power of the investor and the creditor, or the exchange rate, which is like a current commodity, real benefits, exchanged for future goods.
Vzaymosv'yazok mizh rates can be offensive viraz:
de i - nominal, or market, rate per hundred;
r is the real rate per hundred;
p is the rate of inflation.
Only in special situations, if there is no price increase on the penny market (p = 0), that nominal price increases are real. Rivnyannia (2) shows that the nominal rate of hundreds of dollars can change through changes in the real interest rate of hundreds or after changes in inflation. Oskolki pozichalnik and creditor know how much the rate of accepting inflation, all the stench comes from the rate of inflation. Rivnyannya looks like:
de r e - rate of inflation.
Rivnyannia (3) is known as the Fisher effect. The bottom line is that the nominal annual rate is determined not by the actual rate of inflation, but by the estimated rate of inflation. The dynamics of the nominal per cent rate repeats the fluctuating rate of inflation. It is necessary to add credit, that from the formation of the market rate, the value of the rate of inflation may be calculated in the future, in terms of the repayment of the borg goiter, and the inflation rate in the past is not the actual rate.
If there is no inflation in the month, then the supporters win for the money of the creditors, to those who turn a penny's credit, who have been credited. What is the cost of deflation, the creditor wins with the assistance of the debtor. In order to establish the actual inflation index with the dynamics of the average rate for short-term loans, we can confirm the presence of an interrelationship between the nominal per cent rate and the equal inflation value of pennies. Sometimes the situation may develop, if the real interest rates for loans may be negative. Tse mozhe statisya at the time of the change in the rate of inflation, the rate of growth of the nominal rate. Negative interest rates can be restored in a period of galloping inflation or hyperinflation, as well as in a period of economic recession, if you drink on loans, falling and nominal interest rates are reduced. Positive real interest rates mean an increase in the income of creditors. Tse vіdbuvaєtsya, akscho іnfljatsіya nizhuє realnu varіst pozit (withdrawn credit).
Vіdsotkovі rates can be fixed and floating. The fixed interest rate is set for a short period of time with fixed prices without the unilateral right to review. Floating rate - the price of the average rate for long-term loans, which consists of two parts: a dry basis, as it changes depending on the market conjuncture and a fixed value, a fixed amount of money The system of interest rates includes the rates of the penny and stock market: rates for bank loans and deposits, treasury, bank and corporate bonds, interest rates of the interbank market and a lot of others. Їх klassifikatsiya is marked by a low sign, zocrema: forms of credit, types of credit institutions, types of investments from received credit, terms of crediting, types of operations of a credit institution. per-point banking interest rate
Before the main types of interest rates, on which creditors and borrowers are guided, one can see: the base bank rate, the penny market interest rate, the interest rate for interbank loans; interest rate on treasury bills.
Let's take a look at the nominal vіdsotkovі rates.
Base bank rate - ce minimum rate, which is established by the skin bank for loans, which are hopeful. Banks, give positions, give more margin, tobto. a premium up to the base rate from a large part of the retail loans. The base rate includes operational and administrative charges to the bank and income. The rate is set independently by the skin bank. The increase or reduction of the rate of one of the banks will result in similar changes in other banks.
Interest rates for commercial, mortgage and mortgage loans. This type of rates is good for entrepreneurs who take loans from banks for business development, as well as individuals. The actual rate per loan is calculated as the sum of the base rate and the premium. The allowance is the premium for the risk of non-conforming goiter, as well as the premium for the risk, the connection with the term of crediting. The yakshcho one at the bonfire credit of the percentage of the percentage of the vіdomo poses is a dudgeon, then in the supplies loans, the rate is realized by the rate of marketing moves I was covered with the dodatki vydrahuvanni: so, at the exposure of 20% of the venales, it is real.
Rates for line deposits (deposits) of the population of the company in commercial banks. The part of enterprises is important, as well as greater number physical osіb mayut rahunki in commercial banks, rozmіshchuyt karbovantsevі koshti in terminovі deposits (tobto. deposits), winning at tsmu vіdsotok, vіd pіd hour laying the deposit agreement as an interest rate. Deposit rates for passive operations of banks are slightly lower than the rates of the market processes themselves, as well as rates for active operations. Deposit rates are closely related to lower rates of penny-credit and stock markets. legal person, that you can buy bonds on the organized market, or on the unorganized market - bills. The deposit with the bank is good for part of the registration, but if there are alternative possibilities for the placement of funds, it means that banks cannot overstate the interest rates for deposits.
Rates for borgo valuable papers (bonds, certificates of deposit, bills, commercial papers, notes, etc.) are up to the interest rates of the capital market. Borgovyh valuable papers have an interest rate, for example, the payer - the issuer of valuable papers takes pennies to borg. The rates are also different: the coupon for bagatarial bonds, the interest rate for promissory notes and certificates of deposit, the cash advance to redemption. Coupon rates show the net income up to the nominal value of the bonds. Earnings to redemption shows the percentage income from the reinvestment of the bond market value and the reinvestment of the earned coupon income.
Interest rate for treasury bills - the rate at which the central banks of Western countries sell treasury bills on the open market. Treasury bills and discounting of valuable papers, tobto. stinks are sold below par, so the rate is taken as a discount yield.
The interest rate for interbank loans should be up to the highest rates of the market. Bagato ZMI publishes lending rates on the interbank market, if one commercial bank lends to another for the same term at a glance. The rates of interbank credits (MBK) are lower than in the wide range of bank rates for private deposits. These rates are the most fluctuating and the world's largest market-oriented.
Dovidkova rate is a necessary infrastructural element of any position-by-point market for operations with high-quality instruments. При прийнятті рішення про видачу або отримання кредиту, про інвестування або заощадження коштів будь-якому економічному індивідууму (як банкам, так і підприємствам та приватним особам) необхідний базовий показник загальновизнаний індикатор процентної ставки, який служив би орієнтиром загального рівня процентної ставки у цій валюті, z yakim could be used to match all rates for various financial instruments and deposit-credit products on a penny market. In international practice, the role of a wild beacon-orientation of the middle of the numerical rates is played by the index and the higher rates, the ranks are also by the advanced rates. For more trivaly periods, the borg (but not the capital market) will play the role of the global benchmark in terms of the rate of return for state-owned long-term bonds.
It is accepted to estimate the average rate in two projections: nominal and real value.
Nominal income rate depends on the current stationing of the asset var. The main authority is the real rate and the independence of the market conjuncture. The nominal rate for pennies reflects the variability of capital without balancing inflationary processes. The rate is real, against the nominal, demonstrating the value of the vartost financial resources looking at the value of inflation.
Vykhodyachi s appointment given understanding it can be seen that the nominal rate of wages is not a guarantee of changing the increase in prices and other financial risks. The nominal rate may be covered by the participants of the market only as a conscious value.
Mathematical effect
The dependence of nominal and real rates took away its mathematical representation from Fisher's equal. The mathematical model looks like this:
Real rate + Estimated rate of inflation = Nominal rate
The Fisher effect is mathematically described as follows: The nominal rate changes by the amount, if the real rate remains unchanged.
The value for the formation of the market rate is the same as the future rate of inflation with the improvement of the term for the payment of the borgo wimogi, and the rate is not the actual rate, which was the past.
Equivalence of the nominal rate and the real rate is only possible for the current deflation or inflation. Such a state of affairs is practically impossible, and in science it is less like ideal minds for the functioning of the capital market.
Nominal rate of folding bags
Most of the nominal rate is fixed for lending. This is in line with the dynamic and competitive credit market. The value of the capital value within the framework of the credit lines is estimated on the basis of the terms of the position, currency and legal peculiarities postposition. Banks, trying to minimize their risks, vvazhayut for better lending to customers, for long-term savings, in foreign currencies, and for short-term - from the state.
In order to correctly evaluate the transfer of income from the selection of financial costs for a three-hour period, to save money, to improve the scheme of folding funds. When the surplus is loaded with a folded bag on the cob of the skin of the new regulatory period, the surplus is recovered from the sum, taken from the bags of the past period.
Whether it be a market mechanism for the minds of a vague conjuncture, especially one such as the domestic economy, zavzhd pov'yazani z high risks. Whether it's a loan agreement or an investment in the price of paper, a new business or a depository with a bank. Always evaluate the potential income, it is necessary to pay respect to the foreign factor and the real market. Grounded only on the nominal stock, you can take it wrong, obviously not, or lead to a potentially financial failure.
Nominal interest rate - price interest rate without adjusting for inflation, which reflects the current valuation of financial assets.
Real interest rate - the price of the nominal interest rate minus the inflation rate.
For example, the nominal vіdsotkova rate to become 10% of the current, and forecasting the rate of inflation - 8% per rіch. Then the real rate of vіdsotka becomes: 10 - 8 = 2%.
Nominal and real inflation rate
The difference between the nominal rate and the real rate may be less sensitive than inflation or deflation. The American economist Irving Fisher made an assumption about the difference between the nominal, real rate and inflation, which took away the name of the Fisher effect, which means:
Looking at the formula, the Fisher effect looks like this:
i = r + pi
de i – nominal rate per hundred;
r - real rate per hundred;
πe - the rate of inflation.
For example, if the rate of inflation is set at 1% per rіk, then the nominal rate of growth by 1% for the same rіk, also, the real rate will be lost without change. Therefore, it is impossible to understand the process of accepting investment decisions by economical agents, without considering the difference between the nominal and real rates.
Let's look at a simple example: let's say, You can give someone a position on one river in the minds of inflation, then what is the exact rate of hundreds of dollars? If we set the growth rate of the total price equal to 10% per rіk, then by setting the nominal rate at 10% of the rіchnyh with a given position of 1000 m.u., we will take 1100 m.u. Ale їkhnya real kuppіvelnі spromozhnіst vzhe bude not the same, scho to that.
Nominal income increase becomes 100 d.o. bude "z'їdeny" 10% inflation. In this way, the difference between the nominal rate and the real important for understanding how contracts fit into the economy with an unstable high level of prices (inflation and deflation).
Similar articles
Differentiation of rates salary(differentiation of wages) - a phenomenon that dominates the market of practice, as it manifests itself in the presence of non-competing one with one groups of practitioners.
For example, such highly paid professions (in countries with a developed market economy), like doctors, lawyers, pilots, are not competitors for professions, and do not require special education or training.
For both groups of wages, the rate of wages and the elasticity of the proposition. Wage rates for highly paid occupations are much higher, and proposition elasticity tends to be low. Obviously, for professions, they do not require special education.
Organizational process (Process of organizing) - the whole process of organization works according to the plan, which is divided into three stages.
Podіl roboti on okrem_ parts, sufficient for vikonannya okrem pratsivnik vіdpovіdno to yogo qualifications and zdіbnosti.
Grouping task at logical blocks. The work will be easier, as people, as they work one task, unite at the front or the sector. This stage of the organizational process is called the molding of pdrozdil.
The Marginal tax rate is a part of the additional penny unit of real national income, expressed in hundreds of dollars, so you will need to pay as taxes.
The category is applicable to all payments and taxes related to income, which are eligible for consideration as autonomous net taxes, which are not related to income and are paid independently from the world. The main tribute, related to the rimuvanim income, is a surcharge tax. Injection of the surplus tax to the function of saving the influx of autonomous net taxes. Let's assume that the marginal part of the tribute is 20% of income. Regardless of the autonomous clean taxes, we can put together such a table.
The process of marketing research (Marketing research process) is the process of choosing the source of information, collecting data, choosing methods, analyzing and processing the data for the given information, as it takes time to solve problems in marketing.
You can often finish it off, at first glance, visual propositions, like announcing the security of financial independence. Tse can be and bank deposits, and the possibility of investment portfolios. Ale chi so visible, like an advertisement? About tse mi th we will talk in the framework of the article, z'yasuvavshi, what is the nominal rate and the real rate.
Interest rate
Ale for the cob, let's talk about the basis of the foundations of the right one - the hundredth rate. She is nominally vigoda, as if she could take away the honor of a person when she invested money in her. It is necessary to designate, scho to get a lot of opportunities to spend your protection, or to a higher rate, so that you can take away a person.
That is why it is necessary to study in detail what you choose to invest in. Keep in mind that the average rate often reflects the risk of the project that is being raised. So, the most secure ones are the ones that proponuyut profitability up to 20%. The group of increased risk includes assets that account for up to 70% of risk. And everything that is more than these shows - the zone of insecurity, in a yak without evidence of evidence, there is no trace. Now, if it's theoretically false, we can talk about those who have the nominal rate and the real rate.
Understanding the nominal rate
Calculate the nominal value even more simply - under it, understand the value, as it is given to market assets that evaluate them without adjusting inflation. Like a butt, I can bring you, I read, and the bank, which I offer a deposit of 20% of the money. For example, you have 100 thousand carbs and you want to multiply them. So they put it to the bank for one river. On the first day after the completion of the term, 120 thousand rubles were taken away. Your net surplus becomes 20,000.
Hello, is everything so true? And in the course of an hour, food, clothes, and fares could significantly rise in price - and, say, not by 20, but by 30 or 50 vіdsotkіv. What is the job of such a time, to take a real picture of the right? Why is it still necessary to give precedence when the choice is possible? What can be chosen as a guideline for yourself: the nominal rate and the real rate are only one of them?
Real rate
The axis is on such a slope and it is such a show, as the rate of profitability is real. Cіkavo, what її to finish can be easily spoiled. For tsgogo sled in the nominal rate, choose the index of estimated inflation. Continuing the guidance of the earlier butt, we can say this: you deposited 100 thousand rubles to the bank at 20% of the regular ones. Inflation became less than 10%. The result has a net nominal income of 10 thousand rubles. And if you want to save your money, then 9,000 for the purchase price of the past fate.
This option allows you to take any and all insignificant, but surcharges. Now you can look at the other situation, de inflation has already added up 50 thousand dollars. You don’t need to be a genius of mathematics, in order to understand that the camp is right, zmushu shukati, which is another way to enrich that increase in your money. Ale tse everything is still in the style of a simple description. In the economy, for the rozrahunka, who wins the so-called Fischer's equal. Let's talk about new.
Fischer's equal and yoga clouding
Talk about discretion, what to pay the nominal rate and the real rate, it is possible less in the case of inflation than deflation. Let's take a look at what. The first thought about the relationship between nominal and real rates and inflation was raised by the economist Irving Fisher. The formula looks like this:
HC = PC + OTI
SR - price nominal rate of surplus;
OTI - rate of inflation;
RS - real rate.
Solutions for the mathematical description of the Fisher effect. It should sound like this: the nominal rate of a hundred is constantly changing by the amount, for which it is real to get fixed.
You can do it smoothly, but at the same time we’ll make a report. On the right, if the points become 1%, then the nominal value also increases by 1%. Therefore, it is impossible to create a similar process of accepting investment decisions without respecting the difference between rates. Previously, you only read about the thesis, but at the same time you can prove mathematically that everything, once more, is not a simple guess, but, unfortunately, a vague idea.
Visnovok
And what can you say about the end? For the obviousness of the choice, it is necessary to approach the choice of the investment project of your own. It does not matter what the wine is: a bank deposit, a share in a mutual investment fund, or else. І for the pro-rahunka of future incomes and possible expenses, always use economic tools. So, the nominal rate of $100 can tell you to pay indiscretions at once, but if you evaluate all the parameters, it will turn out that not everything is so bright. І economical tool to help you virahuvati, praise any solution you will find.
The most important characteristic of the current economy is the value of investments through inflationary processes. Tsey fact rob additional zastosuvannya not only nominal, but real interest rates in case of adoption of effective solutions to the market. What is the rate of vіdsotka? What to lie down? What rank?
Understanding rates
Under the annual rate, consider the most important economic category, which will increase the profitability of any real asset. It is important to note that the rate of wages plays the primary role of the acceptance process managerial decisions, even if the subject of the economy is the same as the incubations of the otrimani maximum level money for the minimum amount of money in the process of their work. In addition, leather goods, as a rule, react to the dynamics of the rate of the hundredth in an individual manner, but in this case, the primary factor is the type of activity and galust, in which case it is, for example, the variability of your company.
In this rank, the rulers of the capital koshtіv are most likely to get better sooner for the mind high level vіdsotkovoї rates, and pozachalniki, better for everything, add capital less at times low vіdsotka. We look at the examples and prove that today it is important to know the eligibility for the capital market.
Rates per hundred and inflation
The most important characteristic of the market economy is the presence of inflation, which means the classification of rates per hundred (and, obviously, the coefficient of return) on the nominal and real. Tse allows the whole world to assess the effectiveness of operations of a financial nature. If the inflationary rate is changed according to the hundredth rate, won by the contributor on the investment, the result of the second type of operation will be negative. Obviously, in terms of the absolute value of the yogo cost, it is absolutely growing, so, for example, in rubles, the new one has more pennies, but the purchasable capacity is characteristic of it significantly lower. Tse brought to the possibility of a new sum to buy less than the number of goods (services), less, lower, it would be possible to start operations.
Changes in nominal and real rates
Like z'yasuvalosya, they seem to be less in the minds of inflation or deflation. Under inflation, the next change is more significant and sharp, and under deflation - its fall. In this rank, the nominal rate is valued, as recognized by the bank, and the purchasing power, which is powerful in income, is designated as a hundred. In other words, the real rate per hundred can be calculated as nominal, as the inflationary process is adjusted.
Irving Fisher, an American economist, having formulated a hypothesis, how to explain how to deposit in nominal ones. The main idea of the Fisher effect (this is how the hypothesis is called) is that the nominal rate of power can be changed in such a way that it becomes real unruly. r(n) = r(p) + i. The first indicator of the price formula reflects the nominal rate, the other - the real rate of the rate, and the third element is equal to the estimated rate of inflation processes, expressed in the rate of the rate.
The real interest rate is...
Let's use the butt of the Fischer effect, looked at in the front division, maybe a picture, if the pace of the inflationary process is equal to one hundred square meters in the river one. The same nominal per cent rate is the same as the increase per one per cent. Aje real vіdsotok become imminent. It is not necessary to bring to light that the annual rate is real - the same is the nominal annual rate, but for virahuvanni transfers of the actual inflation rates. This rate is fully cleared for inflation.
Rozrahunok showing off
The real rate per hundred can be settled as a difference between the nominal per cent rate and equal to inflationary processes. in such a manner, real interest rate offensive pronunciation: r(p) = (1 + r(n)) / (1 + i) - 1, De rozrakhovuєtsya pokaznik vіdpovіdaє real stavtі vіdsotka, the other non-domy member of the vіdnoshennja vіznaє nominal vіdsotka rate, and the third element characterizes the rate of inflation.
Nominal interest rate
The process of talking about credit rates, as a rule, is about real rates ( real vіdsotkova rate - ce purchasing power of income). Ale rich to those who cannot be guarded without a middle ground. So, under the hour of laying down the loan agreement, the economic subject is given information about the nominal rates of the loan.
Under the nominal cost rate, we should consider the practical characteristics of the charge rate in terms of the current price. For the price of the rate, there is a lookout for positions. Signify that it cannot be greater than zero, otherwise it is equal. Vinyatok become less of a position on the minds of bezkoshtovnostі. Nominal vіdsotkovy rate - tse no more, like vіdsotok, expressions have a penny equivalent.
Razrahunok nominal rate vіdsotka
Let's say, apparently up to the river position in ten thousand penny singles, 1200 penny singles are crying like hundreds of thousands. The same nominal rate is as high as 1200 to 1200. After taking away the position of 1,200 pennies, what creditor will be rich? Competently you can tell on the food chain only knowing exactly how to maintain the river period the prices change. In this way, with the river inflation, which is more expensive for eight hundreds of dollars, the creditor's income will become more than a couple of hundreds of dollars.
Razrahunok nominal rate vіdsotka carried out as follows: r \u003d (1 + net income taken by the bank) * (1 + inflation rate growth) - 1 or R = (1 + r) × (1 + a), the main indicator is the nominal interest rate, the other is the real rate of rent, and the third is the rate of growth of the inflationary .
Visnovki
Between nominal and real rates, there is a clear interrelationship, which for absolute reasoning can be expressed as follows:
1 + nominal rate per hundred = (1 + real per hundred rate) * (price equals for a given tim-hour period / per cob of a looked tim-hour period) or 1+ nominal interest rate = (1+ real rate per cent)* (1+ rate of inflation).
It is important to note that the real efficiency and productivity of operations, which the investor has calculated, seem to be no more than the real rate per hundred. Vaughn to talk about the growth of the cost of the economic entity. Nominal income rate can only represent the value of the increase in costs for the absolute value. There is no insurance inflation. Increase in real interest rate talk about the increase in the purchasing power of a penny unit. І tse rіvnopravno pozbіlshiti zbіshiti spozhivannya in the future periods. Otzhe, this situation can be interpreted like a wine-grower for a stream of protection.
