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A Little Bit About Inflation

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A Little Bit About Inflation

"Inflation. That's the captain of the ship for those guys at the Fed. It's like they run a balancing act. When the economy gets too hot, cool it: raise rates. That means borrowing money is more expensive. People can't buy homes as much because their monthly costs go up. Credit card costs go up. Joe Sixpack spends less. Then things chill. The economy goes the other way, and they drop rates. Suddenly everything looks cheap. The mortgage bill for a single mom goes from $2,000 to $1,500, and...

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