Which macroeconomics factors influence interest rates? And how?

Question

Robert · Accepted Answer

Factors affecting interest rates: 
Growth in the economy:  A growth in the economy results in increased demand for money which in 
turn results in increased rate of interest. 
Rising inflation: An increase in inflation results in decrease in purchasing power of money. Thus,

Which macroeconomics factors influence interest rates? And how?

Solution

Answer To This Question Is Available To Download

Related Questions & Answers

Submit New Assignment