Scroll Down to Read Other Opinions
Exactly! The uninformed love to blame Trump while ignoring how much the Fed has jacked rates over the last few years.
It's only really been this last year but yeah, as soon as we fully finished recovering from what we lost in the recession the Fed was quick to dig their claws in
The rate is lower than it's been since the 1960s, apart from a few years after 2000. (It's rarely been under 4%, and had been as high as 20%; they drop it during recessions and it heads back to normal rates when times are better.)www.macrotrends.net/.../fed-funds-rate-historical-chart
Thanks for the irrelevant data I guess? Lol
The point is that it would be irresponsible not to increase the rates at the moment.
How would it be irresponsible?
Because keeping rates low would lead to increased inflation, which is currently at 2.2%, slightly above the ideal to maintain the economy without ausing problems.www.thebalance.com/current-u-s-inflation-rate-statistics-and-news-3306139"The Federal Open Market Committee reviews the core inflation rate when it decides at its eight FOMC meetings whether to raise the fed funds rate. The core rate removes the volatile effects of gas, food, and oil prices. The Federal Reserve sets a target rate of 2 percent for the core rate. When the rate is lower than the target, the Fed may use expansionary monetary policy. It will lower the fed funds rate to boost economic growth. That will ward off deflation and possible recession. When the rate is higher than the 2 percent target, the Fed uses contractionary monetary policy. It raises rates to keep prices from rising faster than your paycheck. Some critics worry that higher interest rates would weaken consumer demand. That would slow economic growth, reducing its ability to create jobs."
The only opinion from girls was selected the Most Helpful Opinion, but you can still contribute by sharing an opinion!