Part 3/8:
The Macroeconomic Environment
The hosts touched on the broader economic situation, particularly the impact of ballooning interest rates on personal and corporate finances. As interest rates climb, consumers face the reality of increased costs across various sectors, significantly in housing and automotive markets. Interest rates, which haven’t been seen at these levels for some time, create budget constraints for families and businesses alike.
The show investigated the role of federal spending in this economic landscape, highlighting that despite the Biden Administration's intent to reduce spending, it has been accelerating instead. In this context, they discussed the U.S. government's ballooning deficit, which has far-reaching consequences for inflation and interest rates.