KE of photo-electron and nominal interest rate

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SUMMARY

The discussion centers on the relationship between Einstein's kinetic energy formula for photo-electrons and the nominal interest rate equation. Einstein's formula, expressed as KE = hν - φ, illustrates how energy provided through radiation is partially consumed in overcoming the work function (φ) of an electron. Similarly, the nominal interest rate formula, i = r + L, indicates that the real increase in purchasing power (r) is diminished by inflation (L). The author highlights the conceptual parallels between these two equations, emphasizing their structural similarities in different scientific domains.

PREREQUISITES
  • Understanding of Einstein's photoelectric effect and kinetic energy (KE = hν - φ)
  • Familiarity with nominal interest rate calculations (i = r + L)
  • Basic knowledge of work function in physics
  • Concept of inflation and its impact on purchasing power
NEXT STEPS
  • Explore the implications of the photoelectric effect in modern physics
  • Research the impact of inflation on investment strategies
  • Study the relationship between real interest rates and economic growth
  • Investigate advanced topics in quantum mechanics related to energy levels
USEFUL FOR

Students and professionals in physics and economics, particularly those interested in the intersections of energy concepts and financial metrics.

Hall
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Einstein's formula for kinetic energy of a photo electron is
$$ KE = h\nu - \phi$$
$$ h\nu = KE + \phi$$
Which basically says whatever energy you provide through radiation, a part of it will be used (but I would like to say 'wasted') in overcoming the work-function (that is in cajoling that electron to leave the bereavement and come out) and then the energy left will give it some speed.

The formula for nominal interest rate ##i## is
$$
i= r + L$$
##r## is the real increase in purchasing power (in %) and L is the inflation rate. So, whatever extra money the bank or government gives you as interest, a part of it will be wasted in coping up with the inflation and only remaining part will influence your purchasing power.

The mapping, that I have established above between two different equations of two very different sciences, is not any ground-breaking or even a knit-pick but just see how beautifully do they map, they almost get completely superimposed.
 
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Hall said:
The mapping, that I have established
Or, more generally:
Dullard said:
(Some of it) + (The rest of it) = (All of it)
 
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