Question
Please read the article and answer the questions: http://www.reuters.com/article/2015/09/18/us-usa-fed-idUSKCN0RH0GH20150918 1.Who would benefit from an interest rate increase and why? 2.Why did the FED deicide not
Please read the article and answer the questions:
http://www.reuters.com/article/2015/09/18/us-usa-fed-idUSKCN0RH0GH20150918
1.Who would benefit from an interest rate increase and why?
2.Why did the FED deicide not to change the interest rates?
3.What would happen if the interest rates were to decrease?
Also, comment on the following statement.
1. The country as a whole will benefit by increase interest rate since it slows the economy done a bit which can help the economy remain steady. However, it hurt people or business which are borrowing sine borrowing cost will increase.
3.If the interest rates were to decrease, then it would direct to more consumer borrowing.
Please also answer problem 12 & 13. (see attached document)
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