Extremely non financially savvy person here. Is the idea that more people then get home loans, or there is less to pay back on credit cards? I keep seeing this and don’t quite understand.
Thanks so much.
In: Economics
Let’s say you want to do something. Buy land. Start a business. Expand your business.
But you can’t afford to do so in cash. What do you do?
That’s right, you get a loan. Lowering the interest rate makes it easier to do these things. Doing these things create economic activity, and economic activity grows the economy.
Latest Answers