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To: ed who wrote (38193)2/20/2000 5:00:00 PM
From: tonyt  Read Replies (1) | Respond to of 74651
 
<<Rate should not be used as a tool to control the economy, rate should be the result of
the economy. The economy should adjust by itself by the free market force, i.e the
natural demand and supply !!!! >>

Perhaps you should take a look at some countries that do not use interest rates to control the economy. You'll find that most of them are enjoying hyperinflation -- and before you say 'it can't happen here!!', take a look at the USA in the 70's



To: ed who wrote (38193)2/21/2000 3:41:00 PM
From: Charles Tutt  Respond to of 74651
 
That's what does happen -- the federal government is just one element of supply and demand. They do NOT set all interest rates, as some people seem to believe. They do set certain interest rates in which they are uniquely interested (no pun intended).

JMHO.


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