Interest rates were indeed very high in the 1970s, peaking in the late 1970s and early 1980s as central banks, particularly the US Federal Reserve, raised rates to combat inflation. They generally decreased from the 1980s onwards as inflation was brought under control.

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Interest Rates

Question 167

Multiple Choice

Interest rates:

A) were very high in the 1970s and decreased in the 1980s.
B) were very low in the 1970s and increased in the 1980s.
C) steadily increased from 1960 through 2016.
D) steadily decreased from 1960 through 2016.

Correct Answer: