aggressive rate cutting

USAGE SUMMARY

The phrase "aggressive rate cutting" is correct and usable in written English.
It can be used in financial or economic contexts to describe a strategy of significantly reducing interest rates or prices to stimulate demand or gain market share. Example: "In response to the economic downturn, the central bank implemented aggressive rate cutting to encourage borrowing and investment."

✓ Grammatically correct

News & Media

Human-verified examples from authoritative sources

Exact Expressions

2 human-written examples

And, of course, all accepted the conventional wisdom that the aggressive rate cutting by the Federal Reserve would guarantee higher stock prices in the second half of 2001.

The New York Times

Despite the Fed's aggressive rate cutting, Mr. Farrell said he did not foresee a swift economic turnaround, largely because lending standards were also being tightened in response to the problems in the subprime mortgage market.

The New York Times

Human-verified similar examples from authoritative sources

Similar Expressions

55 human-written examples

Credit markets remain traumatized despite aggressive rate-cutting by the Federal Reserve.

The New York Times

The Fed's aggressive rate-cutting campaign has contributed to a lower value for the dollar.

The New York Times

Some investors said the Fed's aggressive rate-cutting campaign, which has sent interest rates down 1.25percentt in the last month, might be inadvertently fueling some of the problems.

The New York Times

Money Store's failure, of course, means one less competitor, and the Associates' setback in manufactured housing appears to reflect aggressive rate-cutting by Green Tree Financial, the ailing unit of Conseco Inc.

The New York Times

Thanks to the Federal Reserve's aggressive rate-cutting strategy and the American government's fiscal stimulus package, most economists expect the U.S. to bounce back earlier.

Forbes

But Greenspan's aggressive rate-cutting will only allow weaker players to complete their projects and so prolong the capital-spending boom.

Forbes

If the economy is looking perkier as a result of the Federal Reserve's recent aggressive interest-rate cutting, the White House can still take the credit.

The Economist

The news follows months of aggressive interest rate cutting by the Bank of England, which has reduced the base rate to 0.5%.

Forbes

The Fed's European counterpart, the European Central Bank, has been far less aggressive in cutting rates.

The New York Times

Expert writing Tips

Best practice

When discussing economic policy, specify the context and rationale behind the "aggressive rate cutting". Providing specific details can add clarity and depth to your analysis.

Common error

Avoid assuming that "aggressive rate cutting" will automatically lead to positive economic outcomes. Acknowledge the potential risks and limitations, such as inflation or reduced bank profitability.

Linguistic Context

The phrase "aggressive rate cutting" functions as a noun phrase, typically used as the object of a verb or as a subject complement. It describes a specific monetary policy action taken by central banks to stimulate economic activity. Ludwig AI confirms its usability in written English.

Expression frequency: Uncommon

Frequent in

News & Media

100%

Less common in

Formal & Business

0%

Science

0%

Wiki

0%

Ludwig's WRAP-UP

The phrase "aggressive rate cutting" accurately describes a monetary policy strategy involving significant interest rate reductions. Ludwig AI verifies that it is usable in written English. It is most frequently found in news and media contexts, where it is used to describe and analyze central banks' responses to economic challenges. While grammatically correct, it's important to consider the potential implications and avoid overstating the impact of such policies. Related phrases, like "sharp interest rate reductions", offer alternative ways to convey the same concept with slight variations in emphasis. This phrase should be used with caution by acknowledging the potential risks and limitations, such as inflation or reduced bank profitability.

More alternative expressions

Phrases that express similar concepts, ordered by semantic similarity:

sharp interest rate reductions

Emphasizes the sudden and substantial nature of the rate cuts.

drastic monetary easing

Focuses on the easing of monetary policy through significant rate cuts.

vigorous interest rate decreases

Highlights the active and forceful nature of the rate reductions.

rapid interest rate lowering

Stresses the speed at which the interest rates are being reduced.

substantial rate slashing

Emphasizes the magnitude of the rate cuts using a more informal term.

forceful rate easing

Highlights the strength and determination behind the interest rate reduction.

bold interest rate cuts

Emphasizes the decisiveness and confidence of the rate cuts.

intense monetary stimulus through rate cuts

Expands the phrase to include the purpose of monetary stimulus.

accelerated decrease of interest rates

Focuses on the acceleration and decline of interest rates.

extreme rate reductions

Highlights the exceptional extent of rate reductions.

FAQs

What does "aggressive rate cutting" mean in economics?

In economics, "aggressive rate cutting" refers to a central bank's strategy of significantly lowering interest rates, usually in a short period, to stimulate economic activity, encourage borrowing, and increase investment.

When might a central bank implement "aggressive rate cutting"?

A central bank might implement "aggressive rate cutting" during an economic downturn, recession, or when there is a significant risk of deflation. The goal is to make borrowing cheaper and boost economic growth.

What are some potential alternatives to "aggressive rate cutting"?

Alternatives to "aggressive rate cutting" include "quantitative easing", fiscal stimulus packages, or structural reforms designed to improve long-term economic health.

What are the risks associated with "aggressive rate cutting"?

Potential risks include inflation, asset bubbles, reduced profitability for banks, and the possibility that lower rates may not effectively stimulate demand if confidence is low or other factors are at play.