Why do interest rates on loans tend to be lower in a weak economy than in a strong one?
The interest rates on loans tend to be lower in a weak economy than in a strong one because in a weak economy there is less demand for credit so the rates are lesser. In a stronger economy, the credit market demand is higher so as the demand increases the rate also increases.
If you draw out a coordinate plane you will see that they , on their Y access, are both nine witch means that they a horizontal line so all you have to do is subtract the x access witch is 3.
