What is the difference between real money & nominal money?
1) Nominal cash is related to the measure of counting. Moderate figure is what is written on the bill. Whereas actual cash concerns it's buying energy. for egg: if 10 systems in moderate cash can buy 2 sweets in 1980 and 1 chocolate in 2000, in the same way, 10 systems of moderate cash is 10units of actual cash in 1980 and 5 systems of actual cash in 2000.
2) The moderate cash has no purchasing energy, where as the actual cash has buying energy.
Expertsmind.com offers unique finance assignment help