How does the overnight loans rate influence the long-term real interest rate? From 2007 to 2009, the
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How does the overnight loans rate influence the long-term real interest rate?
From 2007 to 2009, the long-term real interest rate paid by the safest corporations increased from 2.3 percent to 3.8 percent. During that same period, the overnight loans rate fell from 4.5 percent to 0.25 percent a year.
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The overnight loans rate is a short term interest rate and does not have a direct influence ...View the full answer
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Related Book For
Microeconomics Canada In The Global Environment
ISBN: 9780321931184
9th Edition
Authors: Robin Bade, Michael Parkin
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