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0 pointsrufus_foreman3y ago0 comments

> The issue becomes when the fed suddenly raises rates faster than any time in their history

The Fed funds rate was 9% in July of 1980 and 19% in December of 1980.

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So, roughly doubling (2.1x) in absolute terms versus 17x over the past year.

Let me get this straight. You're making the argument that raising interest rates from 0.01% to 0.17% in a year would have a similar effect as raising interest rates from 5.9% to 100% in a year?

You would say the Fed raised rates as quickly in the first scenario as the second?

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