As the economy improves, the Federal Reserve increases interest rates.
How are interest rates set?
With the recent gradual interest rate hike, many people are being affected by the Federal Reserve.
But few people truly understand how interest rates are set.
Here is an informative, animated video from the Wall St. Journal.
To learn more about the Federal Reserve, check out The Federal Reserve Explained in 3 Minutes.
To learn more about the Federal Reserve raising the benchmark right now, check out As Expected, Federal Reserve Delivers Rate Increase.