banking economics us government
cut interest rates
Hungary
The interest rates on savings tend to move in line with interest rates in the economy as a whole. So, if the Bank of England cuts its base rate, the interest rate on your savings will probably fall, too. But sometimes banks and building societies cut rates by much more than the fall in the base rate, or cut their rates when the base rate has not changed at all. This is because they also set interest rates on particular accounts to attract customers and cut them once they have enough customers.
The interest rates for a home loan from SBI have recently been cut down in January of this year.Now the rates range from only 9.70% as the base rate to up to 10.10%.
An Economist :}
I have the full mortgage tables for 15 and 30 year fixed rate mortgages posted on my IFITBREAKS website. The funny thing is, when I first posted a table five years ago, I only included interest rates between 4% and 8%. When I updated it recently, I added another table to the bottom of the page that covers mortgage rates from 0% to 4%, because the Federal Reserve actions of the past few years have knocked the bottom out of interest rates. <a href="http://www.ifitbreaks.com/tables.htm">Mortgage rate tables from zero to 8 percent interest</a> Or if the link doesn't work, just cut and paste www.ifitbreaks.com/tables.htm
Whose rates are being cut.
The Federal Reserve buying US government bonds causes inflation, so the government can't continue indefinitely.
The answer is very simple.... RONALD REAGAN happened. As soon as taxes were cut, interest rates followed and so did inflation
Consumer spending is called consumption, which is a component of Aggregate Demand in our economy. In monetary policy, the Federal Reserve can buy treasuries, lower the reserve requirement, and lower the discount rate which will increase consumption. In fiscal policy, the government can cut taxes to increase consumer spending.
The cast of A Cut in the Rates - 1997 includes: Jacqueline McKenzie Barry Otto
because when the interest rate goes up means there is a good economy and banks making money. when the interest rate is low banks are lossing money so they out it down to get as many people in to their bank. the consumers are also not spending as much whih is effected by retail sales.