theydidthemath

180 readers

1 users here now

founded 2 years ago

They did the -- CALCULATE FOR RATE OF INFLATION -- math (lemmy.world)

submitted 2 weeks ago by BlindFrog@lemmy.world to c/theydidthemath@lemm.ee

4 comments fedilink hide all child comments

Okay, okay. They calculated for the former expected rate of inflation.

This exchange followed parent comment: https://lemmy.world/comment/17030405

UI is from the Boost for Lemmy app

you are viewing a single comment's thread
view the rest of the comments

[–] notabot@lemm.ee 5 points 2 weeks ago (1 children)

On the assumption that the rate doesn't change over that period, yes, the price will halve in just over 11 years.

You can validate that by 0.94^11=0.5062982072, where 0.94 is the ratio of the price that's left after one year. Raising that to the power of eleven gives 0.506, or just over half, as the ratio of the price remaining after eleven years.

You can get the exact time needed by dividing the log of the ratio you're looking for by the log of the ratio per year, so: ln(0.5)/ln(0.96)=11.2023055836, so the cost will halve in 11.2 years.

[–] Valmond@lemmy.world 1 points 2 weeks ago

Fantastic, thank you!