Rate
A rate is a ratio that compares two different kinds of numbers, such as a price or a quantity. It is used to measure the relative size of one number to another. Rates are often expressed as a fraction or a percentage. For example, a rate of 10% means that for every $1, there is 10 cents of value. Rates can also be used to compare two different kinds of measurements, such as miles per hour or dollars per hour.
History of the Term
The term “rate” has been used since the 16th century to refer to a comparison between two different kinds of numbers. It was originally used to describe the exchange rate between two different currencies. Over time, the term has been used to describe a variety of different kinds of ratios, including interest rates, inflation rates, and exchange rates.
Comparisons
| Type of Rate | Example |
|---|---|
| Interest Rate | 5% |
| Inflation Rate | 2% |
| Exchange Rate | 1 USD = 1.25 CAD |
Summary
A rate is a ratio that compares two different kinds of numbers, such as a price or a quantity. It is used to measure the relative size of one number to another. Rates are often expressed as a fraction or a percentage. Rates can be used to compare different kinds of measurements, such as miles per hour or dollars per hour. For more information about rates, you can visit websites such as Investopedia, Bankrate, and the Federal Reserve Bank of St. Louis.
See Also
- Interest Rate
- Inflation Rate
- Exchange Rate
- Yield
- Return
- Growth Rate
- Discount Rate
- Prime Rate
- Cost of Living
- Price Index
