Shouldn’t it work in the reverse? If businesses are getting loans at higher interest rates shouldn’t they be doubling down on investments as a safety net?
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Businesses borrow money to fund growth (buy property, build factories, carry inventory) so if that becomes more expensive, then it costs businesses more to operate. They aren’t typically buying stocks, bonds, etc. as part of their business (some may, but if they’re not an investment bank or insurance company, etc. those aren’t operating revenue anyway).
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