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Trump can't have strong US economy, low interest rates: Robert Heller



  President Donald Trump speaks to the media during a meeting with Governor Ricardo Rossello in Puerto Rico in the Oval Office of the White House on October 19, 2017 in Washington, D.C.

Kevin Dietsch-Pool Getty Images

President Donald Trump speaks to the media during a meeting with Governor Ricardo Rossello in Puerto Rico in the Oval Office of the White House on October 19, 2017 in Washington, D.C.

US. President Donald Trump is likely to welcome the Federal Reserve's zero interest rate hike projections this year – but he should be cautious that his hopes of a strong US economy may not materialize, according to a former Fed Governor.

In order to prevent inflation from reaching levels that could harm the economy, central banks usually raise interest rates, so companies and individuals find it more expensive to borrow money, which in turn will help tame excess in economic activity and inflation.


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