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Bank of England Lowers Interest rate to 5%

Bank of England Lowers Interest rate to 5% but we can see that the European Central Bank is keeping theirs at 4%.  This is simple, as a result of the EU, it would be very difficult to use interest rate as a monetary tool, they are giving up this monetary tool once they merge into a single entity.  Reason being different parts of EU have different growth rates.  Interest rates cannot be modified as what is good for one country of EU may have adverse effect on another.

Comments

  1. Susan Kishner Said,

    Nice writing style. I will come back to read more posts from you.

    Susan Kishner

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