Interest Rate Raise vs Economic Recovery


 
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Interest Rate Raise vs Economic Recovery
Adam Sheikh
The Reserve Bank of Australia raised the cash rate by 25 bases point to 3.25%. Reason: the global economy is resuming growth. How far can a rise in interest rate contribute to the envisaged world economic growth?
 

 
Conequences of an Interest Rate Raise / Cut on Economic Growth
venkataramanan, Financial Consultant, United States, Member
An increase in interest leads to mobilization of savings i.e. capital formation.
While if this money would have been invested, an increase in pro...Sign up
 

 
Effects of Interest Rate Raise on Economy
Onyango Lucius, Events Marketer, Uganda, Member
The problem with raising the interest rate is that the economy will hold on to their money instead of investing it. Investors may even wait for anothe...Sign up
 

 
Effect of Interest Rate Raise on Economic Recovery
Jaap de Jonge, CEO, Netherlands, Editor
I agree a raise of the interest rate normally has a NEGATIVE effect on the economy resuming growth. Because it makes it relatively more interesting fo...Sign up
 

 
Relation Between Interest Rate and Economic Growth
sanjeeb mohanty, Student (MBA), India, Member
When there is an interest rate increase, there will also be a consequential rise in the prime lending rate for banks (to companies) which may adversel...Sign up
 

 
 



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