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Process of raising interest rates

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Reference no: EM132323941

  • If the FED decides to continue the process of raising interest rates, what is the likely response of firms and households to the increased cost of borrowing?
  • Thinking back to the discussion on the deficit and the debt, how might an increase in the interest rate affect a decision by the government to allow continued large deficits?

Reference no: EM132323941

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