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Results tagged with interest
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user 75895
for questions that relate to interest. Interest is a fee paid by a borrower of assets to the owner as a form of compensation for the use of the assets.
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votes
Why don't bond makers just get loans?
So immediately supply and demand kick into play: with fewer suppliers able to loan out that kind of money, the "price" of the loan (i.e., the interest rate) goes up.
But it's worse than that. … If the bank loans out a huge portion of its reserves to this customer, what happens if interest rates go up next year? …
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