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The Fed And Interest Rates
Part 1 of Paper
....the journal's Money & Investment section. If
the headlines of Mr. Pettit's daily column are any accurate record of economic
concerns and current issues in the business world, the late weeks of March and
the early weeks of April in 1994 were intensely concerned with interest rates.
To quote, "Industrials Edge Up 4.32 P.... Part 2 of Paper
.... assets, in order to acquire additional money, they tend move
toward higher yielding accounts, also further increasing the rate. Soon this
small change by the Fed affects all aspects of business, from the price level to
interest rates on credit cards.
Rises and falls in the interest rate can reflect many changes in an
economy. When the economy is in a recession and needs a type of stimulus
package, the Fed may attempt to decrease the interest rates to encourage growth
and spending in t.... |
| Number of words: 1144 - Approximate pages: 5 |
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