Editing Interest rate (section)

==Monetary policy==
''Interest rate targets'' are a vital tool of [[monetary policy]] and are taken into account when dealing with variables like [[investment]], [[inflation]], and [[unemployment]]. The [[central bank]]s of countries generally tend to reduce interest rates when they wish to increase investment and consumption in the country's [[economy]]. However, a low interest rate as a macro-economic policy can be [[risk management|risky]] and may lead to the creation of an [[economic bubble]], in which large amounts of investments are poured into the real-estate market and stock market. In [[Developed country|developed economies]], interest-rate adjustments are thus made to keep inflation within a target range for the health of [[economic activities]] or cap the interest rate concurrently with [[economic growth]] to safeguard economic [[momentum]].<ref>{{cite news |url= https://www.reuters.com/article/usa-debt-inflation-idUSN1E7711UC20110802 |work=Reuters |title=INSIGHT-Mild inflation, low interest rates could help economy |date=2 August 2011}}</ref><ref>{{cite journal |last1=Sepehri |first1=Ardeshir |author-link2 = Saeed Moshiri |last2=Moshiri |first2=Saeed |year=2004 |title=Inflation-Growth Profiles Across Countries: Evidence from Developing and Developed Countries |journal=International Review of Applied Economics |volume=18 |issue=2 |pages=191–207 |doi=10.1080/0269217042000186679 |s2cid=154979402 }}</ref><ref>{{cite web|url=http://www.imf.org/external/pubs/ft/fandd/2003/06/pdf/inflatio.pdf|title=Inflation : Finding the right balance|website=Imf.org|access-date=8 January 2018}}</ref><ref>{{cite web|url=http://www.imf.org/external/pubs/ft/fandd/2003/06/index.htm|title=Finance & Development, June 2003 - Contents|work=Finance and Development – F&D}}</ref><ref>{{cite web|url=http://www.imf.org/external/pubs/ft/fandd/2010/03/basics.htm|title=Finance & Development, March 2010 – Back to Basics|work=Finance and Development – F&D}}</ref>