Pazar, Aralık 29, 2024

Inflation

The only way to combat inflation is to increase interest rates, but it does not suit the bank bosses, because the lower the rate they borrow from the Central Bank, the more they earn, and they determine the managers and set up the system. If the net return on deposit interest is not above inflation, citizens will not tend to save. If the consumer wants to invest their money, the amount of money in circulation decreases, the law of supply and demand in the economy works, prices fall, and this is how the wheel works in all developed countries.

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