https://fred.stlouisfed.org/series/CPIAUCSL Easy Monetary Policy https://fred.stlouisfed.org/series/FII10 The “real” interest rate is the nominal interest rate minus the inflation rate. It reflects the “real” cost of borrowing. Prior to the “Great Recession”, 2% was a typical “real cost” of borrowing money. To entice lenders to lend, borrowers had to pay some “real” amount extra per year, 2%. … Continue reading Why is Inflation 7%?