About Inflation, GDP and interest

H

heavenlord90

Member
Joined
Mar 12, 2009
Messages
102
Reaction score
0
Im not sure about about something so need some response.

If inflation rises, GDP will fall as it lowers import and export therefore interest rate will drop to encourage borrowing .

Inflation rises, money supply will rise therefore bank rise interest rate to control inflation

Both makes sense to me so need so help .Thanks
 
You must log in or register to reply here.
Important Forum Advisory Note
This forum is moderated by volunteer moderators who will react only to members' feedback on posts. Moderators are not employees or representatives of HWZ Forums. Forum members and moderators are responsible for their own posts. Please refer to our Community Guidelines and Standards and Terms and Conditions for more information.
Top