How do low interest rates affect a business? Consumer demand slows down. Firms tend to defer investments until rates rise. Business credit is harder to obtain. Firms can easily borrow money to finance future growth.
How do low interest rates affect a business? Consumer demand slows down. Firms tend to defer investments until rates rise. Business credit is harder to obtain. Firms can easily borrow money to finance future growth.
Foundations of Business - Standalone book (MindTap Course List)
4th Edition
ISBN:9781285193946
Author:William M. Pride, Robert J. Hughes, Jack R. Kapoor
Publisher:William M. Pride, Robert J. Hughes, Jack R. Kapoor
Chapter16: Mastering Financial Management
Section: Chapter Questions
Problem 3CC
Related questions
Question
How do low interest rates affect a business?
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Consumer demand slows down.
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Firms tend to defer investments until rates rise.
|
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Business credit is harder to obtain.
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|
Firms can easily borrow money to finance future growth.
|
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