I'm wondering about discount rates. Are they beneficial or detrimental? I want to understand whether applying a discount rate is generally considered a positive or negative move.
7 answers
ShintoBlessing
Wed Jan 01 2025
These elevated rates can trigger widespread economic repercussions.
EthereumLegend
Wed Jan 01 2025
The cost of borrowing money increases when discount rates are high.
CoinMasterMind
Wed Jan 01 2025
This situation affects not only banks but also other entities relying on borrowed funds.
JejuJoyfulHeart
Wed Jan 01 2025
The higher borrowing costs can lead to reduced lending activity.
DongdaemunTrendsetter
Wed Jan 01 2025
High discount rates imply significant costs for commercial banks and financial institutions when borrowing from the Federal Reserve.