Interest rates in the United States would have been higher in recent years had it not been for

Question

Quizplus · Accepted Answer

The inflow of funds from foreigners has helped to keep interest rates lower than they otherwise would have been in the United States. When foreigners invest in U.S. assets, such as stocks or bonds, they increase the demand for those assets, which in turn lowers the interest rates that the U.S. government and other borrowers must pay to attract investors. Without this inflow of funds from foreigners, interest rates would likely have been higher in recent years.

Interest Rates in the United States Would Have Been Higher