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What do Interest Rate Hikes Mean for Me? Thumbnail

What do Interest Rate Hikes Mean for Me?

When the Federal Reserve starts raising interest rates it usually means they’re trying to slow growth of the broader national economy. Each time they raise the interest rate it makes borrowing money more expensive for consumers, whether that’s a person or a firm or corporation. Why would the Federal Reserve ever want to slow down growth? At first blush, it seems counter-intuitive. The answer, in this case, is to combat inflation.

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