Ashford ECO 406: Week 3 – DQ 1 – Role of Credit
1st Posting Due by Day 3. Role of Credit. Analyze the role of credit in our economy and how it influences the business cycle. In your answer, explain how the role of credit leads to the stability of our economy. Respond to at least two of your classmates’ postings.
Role of credit
Credit has got a great impact to the country’s economy. It is a sure way of enhancing flow of money to ensure that there are no hiccups of cash flow. Credit can be used when there is need for large purchases by the people especially when it is seemingly impossible to carry cash money around. Credit is money that is not available at hand yet, but one foresees a possibility of having the cash. It works in a way whereby you buy and pay later.
Credit can actually help stabilize the economy. It…