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May_win t1_it6s2pa wrote

IMHO. Log scale and powers of two are not the best way to represent data. It's really difficult to take it


Exp1ode t1_it7cxq0 wrote

Log scales are good for when data has a wide range of magnitudes. To fit Zimbabwe on the scale, about 90% of the countries would be bunched up in the first 10% on a linear scale. Additionally it's a log-log plot, so the relationship is linear


Optimistic__Elephant t1_itbzahk wrote

Agreed. A 0-100% scale is generally best to be presented linearly. If they’re all grouped near the bottom then that’s the point, and shouldn’t be hidden.


TheCriticalAmerican t1_it7fhp1 wrote

This sin't a log scale nor powers of two... I don't know why you're thinking this...

Real Interest Rate = Nominal Rate - Inflation

The line (green vs. blue) is just a Y=X where Real Interest Rate =0

I'm not sure if you're trolling, or just don't know economics.

Edit: Oh! You mean the scale! Yeah, that doesn't matter from an economics perspective. You just need to look at the percentages. It's to force the 45 Degree line that separates positive real rates from negative real rates.