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Should the Federal Reserve Keep Interest Rates Low?

  • Yes they should.

    It could not hurt to try and keep the interest rates low. The Federal Reserve is a good thing and it is their to help people in times of need and in cases of emergencies. It will help others in the long run and do what it is there for.

  • The Federal Reserve should Keep Interest Rates Low.

    Keeping interest rates low is good for the economy. Having low interest rates encourages people to spend money and invest rather than saving in banks. More money in the economy is a good way to stimulate business. Keeping interest rates low will help to stimulate the economy after the financial crisis.

  • Low interest rates are a sign of a good economy, with a lot of saving and long term investment projects

    SAVING grows the economy, not spending. When interest rates are naturally low, that signals to entrepreneurs and capitalists that people are deferring their consumption, and that there are a lot of resources that can be used for long term projects that will increase production. When interest rates are naturally high, that signals to entrepreneurs and capitalists that people want to consume now and are not saving for the future. Tampering with these interest rates distorts the market, and encourages malinvestments on the part of the entrepreneur.


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