zacfriske zacfriske
  • 10-09-2020
  • Social Studies
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If the interest rate on borrowing is high, what is the consequence

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fesstwitta fesstwitta
  • 10-09-2020
When interest rates increase too quickly, it can cause a chain reaction that affects the domestic economy as well as the global economy. It can create a recession in some cases. If this happens, the government can backtrack the increase, but it can take some time for the economy to recover from the dip.
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