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> In the 80s interest rates on long term treasuries were around 10% It's only useful to talk about interest rates in the 80's in the context of fighting inflat
by dehrmann 5y ago
> In the 80s interest rates on long term treasuries were around 10%
It's only useful to talk about interest rates in the 80's in the context of fighting inflation. In other cases, it's a cherry-picked number.
- adam_arthur 5y agoNot clear what you're even implying. Cost of financed goods was lower in 70s and 80s due to higher rates. So when people talk about how easy it was for the last generation to buy a house or pay for college, part of that was due to higher rates suppressing prices. The lower rates go, the higher prices go, and the ability to live a debt free life becomes diminished. Some say it's ok because the lower rates offset the increase in price.