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Non-Tech : Deflation

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To: Maurice Winn who wrote (182)11/21/2002 5:23:30 PM
From: Ahda  Read Replies (1) of 621
 
Don't you think that's a good thing? 'Tinkering' suggests that changing interest rates is a pointless thing to do. A lot of people seem to hang on every word and spend a lot of effort pondering interest rate moves and what effect that will have. I know interest rates have an effect on what I do - when he lowered rates, I cut my borrowing.

I have no idea what you do so i don't know if interest rates have little consequence of your business. What interest rates have done is most assuredly kept the financial industry in business. They have reduced set payments for many but the economic structure appears not to be benefiting from this in terms of corporate as well as retail growth. Revenues are not increasing but cost is decreasing which does add to the profit line.

The problem is the intent of new rates is also to spur business and i don't see this in terms of new growth.
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