Dislikedi'm trying to compare situation in US with EZ.
so economy is doing better compared to 2009
both country's
what about connection between unemployment and Q.E
Company's are not hiring. so I am still waiting for the answers.Ignored
if there are no jobs, there will be no consumer confidence since people don't have any disposable income. when there is no consumer confidence, consumer spending obviously goes down. when calculating gdp through the spending approach, consumer spending accounts for the largest percent, so when consumer spending goes down so does growth. So in order to keep int rates low, gov must intervene w stimulus to avoid crowding out effect. Higher int rates will always mean reduced demand for investment.