Since the day you were born and your parents put an economics textbook in your hand, it was just "known" that lowering interest rates helps boost the economy. Specifically, "the interest rate" the Federal Reserve controls (also called the Federal Funds Rate) was our monetary policy savior in case the economy looked like it was going to go into recession. Ergo, in combination with expansionary fiscal policy, "lowering the interest rate" would help put people back to work and defeat the hated "business cycle" forever.
Or maybe not.
For before I hop in my car and head out to Seattle, I decided to do a little research in aiming to make some pre-made very Cappy economic posts. And one thing I wanted to see was if the federal funds rate had ANY correlation or effect on economic growth.
It does not:
This concludes your pre-made Very Cappy post of the day.