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IMF to Fed: Raise rates?

SDUT EconoMeter panel weighs on interest rate moves

Roger Showley, SAN DIEGO UNION-TRIBUNE

Friday, June 12, 2015

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Kelly Cunningham, National University System
Answer: NO

Zero interest rates distort the market and act more as sedative than stimulant. So long as current monetary policy persists, the economy will not reach healthy levels of growth because low rates encourage consumers to take on more debt. The longer the Fed waits to raise rates, the more debt we will have when it does. This makes debt loads more costly to service, and throws cold water on whatever "recovery" purportedly is taking place.