Is the US Fed right about raising interest rates? | Counting the Cost

Inflation in the United States hitting a 40-year high over the past 12 months and the Federal Reserve raised interest rates 8 times to rein in price increases.

But the policy depresses the value of the bonds on banks’ balance sheets and it has been linked to the uncertainty in the banking system.

At its latest meeting, the Fed was forced to make the tough choice between focusing on forcing downward inflation or holding rates steady to avoid market turmoil.

In the stop, it agreed to hike rates by a quarter-percentage point.

Elsewhere, South Africa is suffering its worst-ever power cuts. How is this affecting the economic system?

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