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The people you're drafting into the fight against inflation when you raise interest rates and slow the economy are the most vulnerable, the purpose of raising interest rates is to take the air out of the sails of the economy. If it works, you are, by definition, going to have fewer jobs. Even small increases in interest rates, if they have the desired effect, will cause job losses and wage losses.
Found on CNN 2 years ago
The people you're drafting into the fight against inflation when you raise interest rates and slow the economy are the most vulnerable, the purpose of raising interest rates is to take the air out of the sails of the economy. If it works, you are by definition are going to have fewer jobs. Even small increases in interest rates, if they have the desired effect, will cause job losses and wage losses.
Found on CNN 2 years ago
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