Hi, I need help with essay on MACROECONOMICS. Paper must be at least 1500 words. Please, no plagiarized work!
In economics, the guiding principle is to never lose, every amount of money leaving ones coffers must always earn more to the business.
This increased influx of money is likely to lower the interest rates in the current market. Interest refers to the additional value that money earns especially from debtors. Money lending is a big business opportunity for banks. they give out money and retain a security which could be in the form of a motor vehicle logbook or a land title deed. When the debtor pays the money back to the bank, he pays a little more, the additional amount is referred top as the interest and is the profit that the banks get from such risky undertakings. Incase the debtor fails to re-service the loan. the security is sold to meet the defaulted amount.
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