Why did higher interest rates fail to slow down economy

Reference no: EM132126408

Question: In the late 1970s interest rates soared but the economy remained healthy. Why did higher interest rates fail to slow down the economy in 1977-8, but cause recessions in 1980 and 1981? The response must be typed, single spaced, must be in times new roman font (size 12) and must follow the APA format.

Reference no: EM132126408

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