The highest interest rates charged for consumer credit are the Pay Day loans, which if rolled over can end up at a 400% interest rate. Pay Day loans are outlawed in some states such as North...
neither would lead to growth. a higher interest rate would deter firms from investinghigher taxation would lead to lower consumption spending and less supply of labor.both bad.
Increasing interest rates make the cost of borrowing funds higher. Due to the higher cost of borrowing the consumer prices typically fall which lowers the rate of inflation. Consumer prices fall...