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kiruha [24]
3 years ago
14

As a general rule, prices rise over time. This is called inflation. How does inflation help explain why banks charge interest on

loans?
Social Studies
2 answers:
AVprozaik [17]3 years ago
6 0

Answer:

they need to make a profit

r-ruslan [8.4K]3 years ago
3 0

Answer:Inflation Can Help Borrowers

Explanation:This is because the borrower still owes the same amount of money, but now they more money in their paycheck to pay off the debt. ... Thus, inflation lets debtors pay lenders back with money that is worth less than it was when they originally borrowed it.

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