The impact of interest rates on the economy

Interest rates are one of the most important monetary policy instruments that affect many aspects of the economy. Changes in interest rates can directly affect investment, consumption, exchange rates, and other economic indicators. This article examines the impact of interest rate changes on macroeconomic variables such as economic growth, inflation, and unemployment. Through theoretical and empirical analysis, it examines how interest rates affect these factors and provides case studies from different countries. The results of this research show that interest rate changes have widespread effects on the economy and policymakers should be very careful in regulating them. Finally, the article provides suggestions for economic policymakers to optimally use interest rates as a tool for managing the economy.

کلیدواژه ها:

Interest rates ، Investment ، Inflation ، Economic growth ، Financial markets