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A dropping interest in golf?
Dropping interest rates will buy time for some banks, but it will also push up inflation.
The vast majority of loan modifications to date have lowered payments by dropping interest rates while leaving balances untouched.
With the dollar falling to record lows and the Federal Reserve sharply dropping interest rates, gold has become an even more attractive investment.
"We are getting a huge lift in this industry from dropping interest rates," said James Glassman, an economist with Chase Securities.
From that peak, steadily dropping interest rates have fed a three-decade lending boom, during which American consumers borrowed more and more but managed to hold down the portion of their income devoted to paying off loans.
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"This just gives providers leave to drop interest to that rate.
Another reason may be that some prestamistas are willing to drop interest rates for their best customers.
At home he has used a budget surplus to restore economic stability, dropped interest rates and reduced already low unemployment.
In the 1980s, central banks began winning the war on inflation, which allowed them to drop interest rates sharply.
The Federal Reserve dropped interest rates from 6.5percentnt in 2001 to zero in 2008; the Bush Administration cut taxes and increased spending.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com