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To: AzaleaCity5691

I took macro and micro econ, but I am clueless about why this would be a bad thing.

I guess I would have to be an econ major to figure it out...lol


5 posted on 06/26/2005 11:30:02 PM PDT by rwfromkansas (http://www.xanga.com/home.aspx?user=rwfromkansas)
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To: rwfromkansas

Well, my guess is, to some lendors, this is a bad thing, because this means loans will be nowhere near as profitable for them, and for sub-prime lenders, this could be even worse, because as normal rates stay low, even theirs will start to feel the effects of this.


7 posted on 06/26/2005 11:35:06 PM PDT by AzaleaCity5691 (The enemy lies in the heart of Gadsden)
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To: rwfromkansas

This econ major says that it is NOT a bad thing. It is a GOOD thing for the economy. People have a better opportunity for the Good Life when rates are low. When rates are high they are telling you that a major problem exists generally high inflation rates or lack of capital for investment.


27 posted on 06/27/2005 1:44:35 PM PDT by justshutupandtakeit (Public Enemy #1, the RATmedia.)
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