Explanation as to the chart and impact on economies in general?
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This chart is saying whenever the interest rates have reached the resistance level, due to such higher interest rates and other factors, economy has moved to the economic downturn thereby reducing of repo rates by Fed.
So this time when the interest rate are increasing Fed is also pushing the interest rate up. Since the corona lot of liquidity has died up in the organisation, by increasing int rate the firm will face more problems in long term regarding liquidity. And from last couple of years the startup’s have attained very valuations which is not deprecating there true valuations. Thereby increasing int rate can cause them more harm then good.