Pre-Election Rate Cuts Would Mean More Inflation
Gage Skidmore from Surprise, AZ, United States of America, CC BY-SA 2.0, via Wikimedia Commons
As the 2024 election approaches, President Biden would like to see interest rates come down because lower rates can boost economic growth by making borrowing cheaper for everyone.
This means people and businesses are more likely to spend and invest, which helps the economy grow. Lower interest rates can also reduce unemployment as businesses expand and hire more workers.
A strong economy can make voters feel more confident and secure, which is good for any president seeking re-election. Plus, lower rates help ease the debt burden, giving people and businesses more money to spend and invest.
However, interest rate cuts will drive up inflation,
