Real cost
The amount something costs when stated in terms of its cost in a single year regardless of the year in which it is actually purchased. For example, if you assume that the only reason the cost of something changes is inflation, the real cost will be constant. Stated differently, the real cost is equal to the nominal costThe amount you pay for something stated in terms of the its cost in the year you make the purchase. For example, if you assume that the only reason the cost of something changes is inflation, the no... More after removing the impact of inflation.
