In the wake of terrorist attacks and a weakening economy as the new century began, both U.S. interest rates and inflation sank to 40-year lows.

Question

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Following the terrorist attacks on September 11, 2001, and the subsequent economic downturn, the Federal Reserve lowered interest rates to stimulate the economy, which, along with other factors, contributed to both interest rates and inflation reaching their lowest levels in decades.

In the Wake of Terrorist Attacks and a Weakening Economy