4 ms·
What's the real ELI5 reason for this though? Why does a drop in the fed rates from 1% to .2% matter much more than a drop from 4% to 2%?
by throw_this_one 6y ago
What's the real ELI5 reason for this though? Why does a drop in the fed rates from 1% to .2% matter much more than a drop from 4% to 2%?
- ajmadesc 6y agoExponent?
- randomopining 6y agoYeah but besides the math part of it... what’s the actual explanation? Besides “that’s how it impacts the formula!”