Navigating Through The Interest

Navigating Through The Interest - Navigating Through The...

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Navigating Through The Interest Rate Morass: Some Basic Principles G. J. Santoni and Courtenay C. Stone
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Discussions of interest rate movements and their consequences are frequently misleading and often mistaken. One can find comments which indicate that interest rates are simultaneously too high and too low High interest rates are “caused” both by slower money growth and expansionary money growth The dollar will rise in foreign exchange markets because of interest rate movements, whether interest rates rise or fall.
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DIFFERENT INTEREST RATES MOVE SIMILARLY OVER TIME There are differences between the levels of interest rats on bonds that have different risks Short-term interest rates are generally more variable than long-term rates. Interest rates generally move together over time
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DIFFERENT INTEREST RATES MOVE SIMILARLY OVER TIME
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THE INTEREST RATE: THE PRICE OF WHAT? Nominal Prices, Inflation and the Price of Money Relative Prices and Economic Behavior The Interest Rate: The Relative Price of Earlier Availability
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Navigating Through The Interest - Navigating Through The...

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