Two real interest rates =actual inflation rate (not known until after it has occurred) e=expected inflation rate i-e=ex ante real interest rate: (i=r+πe) ·i-元=ex post real interest rate: (i=r+元) CHAPTER 7 Money and Inflation slide 27 CHAPTER 7 Money and Inflation slide 27 Two real interest rates ▪  = actual inflation rate (not known until after it has occurred) ▪  e = expected inflation rate ▪ i –  e = ex ante real interest rate: (i = r +  e ) ▪ i –  = ex post real interest rate: (i = r + )