Interest rate and economic growth.

[Niyi Briggs]

Interest rates can affect economic activity by influencing borrowing and spending. When interest rates are low, borrowing is cheaper and consumers and businesses are more likely to spend and invest. This can lead to economic growth.

Conversely, when interest rates are high, borrowing becomes more expensive and spending and investment decrease, leading to a slowing of economic activity. Interest rates can also affect the value of a currency and the balance of trade.

 

[Magnus2022]

Sometimes, govt have to increase interest rate to mob excess cash in circulation and reduce the possiblity of inflation. Government can increase interest rate when they need fund to execute some projects.

 

[riberet19]

When interest rates are high it is like turning off the money spigot a bit, getting into debt is more expensive and that opportunity cost is lost and investment decreases and therefore also growth, just the opposite happens when the rates are at 0 or even in negative

 

[Heatman]

It's something that's happening with PayPal for a while now. They keep increasing charges and there's nothing we can do about it.

 

[uptrendfinancialsignal]

The interest rate is the instrument used by the government to regulate the economy and to ensure that the economy is stable..

 

[Bisolami]

Sometimes, govt have to increase interest rate to mob excess cash in circulation and reduce the possiblity of inflation. Government can increase interest rate when they need fund to execute some projects.

This is true but they should make sure that the increases in a way that it will not affect a lot of people in the society

 

[Springtime]

Low interest rate helps to stimulate economic growth. With low interest rate, people can get more money to make purchases and invests in businesses.
High interest rates induce saving and reduce consumption.

 

[SHAHID987]

Here just now govt increased interest rate and people are upset by this it is going to effect in different commodities. Day by day we are moving towards the side as daily basis we listen some dangerous news.

 

[Stardom22]

I think the situation is not different in other countries too. Even in my country the government is implementing policies that can make sure every individual pays very expensive interests rates.

 

[riberet19]

I think the situation is not different in other countries too. Even in my country the government is implementing policies that can make sure every individual pays very expensive interests rates.

Yes, in most central banks they are acting in the same way, increasing the percentage of the interest rate, in Europe it is possible that they will end up rising more than in the US.

 

[Heatman]

The interest rate is the instrument used by the government to regulate the economy and to ensure that the economy is stable..

From my observation so far it is very obvious that the government doesn't really care about what is going on in the country because they are not helping small businesses to grow.

 

[uptrendfinancialsignal]

From my observation so far it is very obvious that the government doesn't really care about what is going on in the country because they are not helping small businesses to grow.

The interest rate is a tool in the hand of the Central Bank to regulate the economy.

 

[IB D]

What they don't know is that interest rate is kept low would increase manufacturing and productivity which would boost economic growth.

 

[Bisolami]

The interest rate is a tool in the hand of the Central Bank to regulate the economy.

You are right but there are times that the interest rates may not be favorable

 

[uptrendfinancialsignal]

Interest rate is extremely wonderful for economic growth because it is used as instrument by the federal government to adjust the economy.

 

[Bisolami]

Interest rate is extremely wonderful for economic growth because it is used as instrument by the federal government to adjust the economy.

This is good and it will help to grow and develop the economy of a country

 

[Reedex]

The interest rate has a direct influence on the economic situation of every countries.

 

[Yohanna]

The interest rate has a direct influence on the economic situation of every countries.

It is a very correct that the interest rate has a great influence on the economic situation of each country.

 

[Bisolami]

The interest rate has a direct influence on the economic situation of every countries.

It has an influence and that is why the interest rate should be moderate so that it is not going to affect the citizens very much