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QUESTION
One of the points made in this chapter is that inflation erodes investment returns. Go to www.moneychimp.com/articles/econ/inflation_calculator.
One of the points made in this chapter is that inflation erodes investment returns. Go to www.moneychimp.com/articles/econ/inflation_calculator.htm and review how changes in inflation alter your real return. What happens to the difference between the adjusted value of an investment compared to its inflation-adjusted value asInflation increases?The investment horizon lengthens?Expected returns increase?
