4 ms·

Unfortunately (or not, depending on your politics), the main mechanism here, the interest rate, is not up to the market to decide. It's up to a small group of f

Unfortunately (or not, depending on your politics), the main mechanism here, the interest rate, is not up to the market to decide. It's up to a small group of folks who do not have to show their work. Speculation, but the "dollar milkshake theory" seems to fit the best here, which would imply we'll probably be stuck with high interest rates for quite awhile. It's entirely possibly we never see money move as freely as it did in the past 10 years in our lifetime.

millzlane 4y ago
If I, some poor guy in the ghetto is considering tightening the belt on my finances and looking ten years out, then I assume so is every other person in business with half a brain more than me is doing the same. I agree with your speculation, I do not see the money as free flowing as it once was. Anecdotally, I was recently given a worst interest rate in 2023 with a better credit score, and more income than I had in 2015.
- laidoffamazon 4y ago
  > If I, some poor guy in the ghetto is considering tightening the belt on my finances and looking ten years out, I think you're reading too many cranks on the internet. The state of the economy is fine, significantly stronger than where it was just 3 years ago. Real consumer spending hasn't budged much and the labor market is the strongest in 50 years despite the well publicized layoffs. The dotcom boom happened under equivalent to higher interest rates than we had now. "Morning in America" happened with an unemployment rate double what it is today.