Should the FED keep interest rates as they are currently, or should they raise them?

Question

Should the FED reduce/have interest rates the same? Or should they raise interest rates? I've heard quite a bit of debate about this. And I'm not sure what should the FED do. What do you think should happen? I'm open to all views.

Answer 1

interest rates are the cost of borrowing and reward of lending...

the government rises the interest rates to reduce spending in the economy, as people would feel that they are better off saving in the bank instead of buying designer handbags...

interest rates are also increased when inflation is rising a.) to reduce spending b.) to make an earning for the banks, as interests are income for banks that they receive on the loans they issue to people or firms...

the FED might be reluctant in increasing interest rates as when they rise it means that mortgage prices would rise too this would be detrimental for the US economy in particular.