Will Low Mortgage Rates Make A Difference?

On Dec. 16, the Fed dropped its benchmark interest rate to almost zero. That low rate doesn't have a direct effect on you — it's the rate at which banks lend money to other banks in overnight trading. But it does influence the interest rates we pay on consumer loans, like mortgage rates.

Host Liane Hansen speaks with John Cochrane, a finance professor at the University of Chicago's Booth School of Business, about what the dip in mortgage rates means for individual consumers and the economy as a whole.

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