(ECONOMICS) the difference between the nominal interest rate and the rate of inflation; the actual premium charged by banks for lendable funds.
The real interest rate can be determined by subtracting the annualized rate of inflation from the prime rate offered by banks to borrowers with the best credit.
During the 1970's, the USA experienced relatively high inflation (peaking at 17% in January 1980). In some months this exceeded the prime rate, resulting in negative interest rates for short periods (e.g., April-October, 1978; Feb-July, 1979).
One problem of deflation (i.e., falling absolute prices) is that it always occurs when the economy is in VERY severe recession, and there is no way the central bank can reduce the real interest rate to zero, since 0% nominal rates minus negative inflation = positive real interest rates.
The real interest rate can be determined by subtracting the annualized rate of inflation from the prime rate offered by banks to borrowers with the best credit.
During the 1970's, the USA experienced relatively high inflation (peaking at 17% in January 1980). In some months this exceeded the prime rate, resulting in negative interest rates for short periods (e.g., April-October, 1978; Feb-July, 1979).
One problem of deflation (i.e., falling absolute prices) is that it always occurs when the economy is in VERY severe recession, and there is no way the central bank can reduce the real interest rate to zero, since 0% nominal rates minus negative inflation = positive real interest rates.
During the period 1978 to 1980, there were 14 (out of a total of 36) months during which the real interest rate was negative.
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When you go online to a free anyomous chat room and attempt to piss others off by being completly absurd. The chat starts off with you connecting to a complete stranger. Thinking that you got this with no problem, you begin a conversation striking up common small talk. You believe the stanger is a female. Slowly you start to introduce explict themes. Normally revolving around sex. the conversation quickly blooms into a cyber session. Within minutes highly detailed words are flying back and forth across the screen. Finally its time to deliver the final blow and destory the stanger. But before you can, the stranger revels that he is a 14 yr old guy, tells you that your a complete fag for hitting on him, and then thanks you for getting him off. He then quickly disconnects, and you've been cyber-raped.
Theres a loud comotion in the room next door.
Mike and his friends talking to people online.
Tyler: what is going on guys?
Mike: Dude i just got cyber-raped!
Mike and his friends talking to people online.
Tyler: what is going on guys?
Mike: Dude i just got cyber-raped!
by dArK cHoCoLaTe ; ) October 14, 2009
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Get the rafed alasadi mug.by Jeff Scags February 26, 2006
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Man that assbag Dartagan didn't vote for me in the hot chick contest.
Damn that sucks, lets hate rate his bitch ass for a week...
Dartagan - Y am i always getting rated down? :(
Damn that sucks, lets hate rate his bitch ass for a week...
Dartagan - Y am i always getting rated down? :(
by MaryJaneRottenCrotch May 28, 2008
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