Economists worry that the change that could start the process to drive down prices will make it harder to buy things like a home or car.
HOUSTON, Texas -- On Wednesday, a government group is expected to make loans more expensive to lower rising prices, but economists aren't sure it'll have an immediate impact.For months, the federal reserve, which oversees interest rates, has hinted it may increase interest rates to help with rising costs. The group is expected to do just that on Wednesday.
The group may increase interest rates to try and cool spending, which is part of the reason why prices are rising at their highest rates in 40 years. "I think we're really heading into some uncharted territory," Barro explained."We see a lot of things that are unusual all kind of happening at the same time."
This is why some economists worry it'll get worse before it gets better. People will be stuck with paying higher loans, and prices on everything else won't drop.If the government group increases loan prices, experts believe you won't see an immediate drop in high prices.
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