⟩ What is the difference between real money and nominal money?
Nominal money is related to the measure of counting. Nominal figure is what is written on the bill. Where as real money relates to it is purchasing power.
Example:
If 10 units in nominal money can buy 2 chocolates in 1980 and 1 chocolate in 2000, in the same way, 10 units of nominal money is 10 units of real money in 1980 and 5 units of real money in 2000.