As a result, the real rate of interest nominal rates adjusted for inflation would actually rise in France.
The lower the rate of interest the more willing one is to make an investment.
The higher the rate of growth, the higher the rate of interest should be.
Treat the low yields for what they are, a painfully low rate of interest income.
FORBES: Low Rates Say Stocks Are Cheap- Earnings Season Arrives Again
Who would you expect to pay a higher rate of interest when borrowing for three years?
For them, capital isn't available at any rate of interest that makes sense for expansion purposes.
As we have argued elsewhere, the government could instead use a higher rate of interest.
FORBES: Why Does The Federal Government Subsidize Retirement?
Inflation reflects itself first in a lowering of the actual rate of interest beneath the natural rate.
FORBES: Why Interest Rates Tell Lies About Inflation, Growth And Just About Everything Else
These track the inflation rate and pay a rate of interest at the end of the year.
Our fifth indicator is the real rate of interest, which is negative in over half of the economies.
Therefore, subtracting rising rates of inflation from falling nominal interest rates results in a falling real rate of interest.
Moreover, in a deflation, where prices fall, a low rate of interest can be very high in real terms.
Although the base rate of interest is 4.5%, most credit cards charge upwards of 40%, plus an annual fee.
Those flush with cash assess potential borrowers and decide who to lend to, and at what rate of interest.
In such a market, anyone can borrow or lend as much as they want at the going rate of interest.
ECONOMIST: The World Bank cannot go where its research is leading it
Repaying the loan might not make sense if you can instead invest the money at a higher rate of interest.
These bonuses generally offered a higher rate of interest for the first 12 months or so after an account is opened.
Raising the rate of interest paid on excess reserves can make new bank loans less attractive, thus tempering overall credit creation.
The obvious problem with bonds right now is that you can be stuck with securities that pay a low rate of interest.
There is also the problem of reinvestment risk, meaning current bonds are paying a lower rate of interest than maturing bonds are.
" On the other hand, when Fed officials push the short rate of interest down, the Fed is said to be "loose.
This would be good for the recovery, as earning a reasonable rate of interest in savings makes a saver feel wealthy again.
They are issued with a fixed, guaranteed rate of interest (currently 3%).
There is no capital available for LBOs at any rate of interest.
If you are paying off a range of credit cards and store cards, you should pay off those with the highest rate of interest first.
The Spanish government was able to find buyers for its medium-term debt this morning, at a not-too-exorbitant rate of interest of about 5%.
If the dollar is the most important price in the world, the rate of interest for borrowed dollars is arguably the second most.
Or better yet, how about the federal government pays the expropriated investment capital back to investment firms with a negative rate of interest i.e.
FORBES: Replacing FDR's New Deal With The GOP's Version Of The Great Society
When you do not believe you can earn rates of return greater than the rate of interest on your mortgage from your investments.
When you invest in a project your primary concern is that your rate of return exceed the rate of interest that you are paying.
应用推荐