8 ms·

I understand why it would increase the cost versus when interest rates are low, but I don't see why high interest rates should cause continuing inflation?

• detourdog 2y ago
  If the rate stays steady it should not drive continuing inflation. Increasing interest rates only effecting shaky businesses. If a business has sufficient cash flow interest rates will have a small effect.
  • 15155 2y ago
    What about that business's customers who don't always have sufficient cash flow?
    • detourdog 2y ago
      What about them? Sounds like the customer should think through their issues before making purchasing decisions. Do you have something specific in mind?