Nominal interest rates and inflation
2 Mar 2017 He noted that the real interest rate on government bonds (or the difference between the nominal interest rate and the inflation rate) has also been Also, in a healthy economy, wages rise at the same rate as prices. A standard So how do interest rates affect the rise and fall of inflation? Like we said " Nominal." http://www.investorwords.com/3296/nominal.html; Investorwords.com. " Real.