How about just getting rid of them.
Let the market decide interest rates.
“Let the market decide interest rates.”
Nice sounding idea, not happening. There have to be “guardrails” or there will be too much rate volatility. You can’t make long term investment decisions, like real estate developing, without some assurance of reasonable rate stability.
The Discount rate is the rate the Fed charges if you borrow directly from the Fed. The market is free to borrow from anybody else and whatever rate they can agree on.
The Federal Funds rate is the rate that banks are allowed to charge other banks when they have excess reserves at the FED. And according the article below, they don't even control that.