Rate: Increases to 20 percent
The details: With the economy still struggling from the second recession in three years and continued double-digit inflation, the Fed raises the federal funds rate in late May to 20 percent. Public opinion polls show widespread disapproval with President Ronald Reagan's handling of the economy, and Democrats gain 26 U.S. House seats in midterm elections the following year.
More On The Economy:
Bankrate wants to hear from you and encourages thoughtful and constructive comments. We ask that you stay focused on the story topic, respect other people's opinions, and avoid profanity, offensive statements, illegal contents and advertisement posts. Comments are not reviewed before they are posted. Bankrate reserves the right (but is not obligated) to edit or delete your comments. Please avoid posting private or confidential information, and also keep in mind that anything you post may be disclosed, published, transmitted or reused. We do not permit the inclusion of hyperlinks in comments and may remove any comment that includes a hyperlink.
The employment report released this morning is great news for the economy but not so much for mortgage borrowers.
... Read more