[Mr. K]

we borrow so much on a daily basis that an increase of just a percentage point would make the INTERESTE ALONE on the national debt greater than we can pay

[Ghost of SVR4]

Okay, I get you on that part, makes sense. What drives this particular interest rate?

(apologies for being obtuse on this, input is appreciated)

[Blood of Tyrants]

No problem. Obama will just have the Federal Reserve crank up the money printing machines.

[grania]

So why not just not pay back the Federal Reserve? I know that all kinds of charts and graphs and important addresses can "explain" it to me. All I see is already very rich elitists losing out; I'm sure they'll still find a way to excel at making money.

Meanwhile, the middle class is being starved. Nobody can save for future retirements. Those who are retired are spending principal, when they should've been able to count of at least 4% interest on savings....all money that would go directly into the economy.

Besides that, higher interest rates on mortgages might make them more available. Sellers will adjust the price, and the new owners might even make out with that interest being tax deductible.

The economy is stagnant. The rich are getting their wealth and power concentrated. And the little guy can't catch a break. So tell me where this low interest rate economy has helped us.