1 life consumption more active interest rates, means that interest may be reduced, so that the bank's deposit flows to the consumer and investment aspects. From the perspective of consumption, the National Bureau of statistics on the consumer confidence survey shows that in October 2014 urban and rural consumer confidence index were 102 and 106.9. Through the rate cut will promote consumption, consumer confidence index is expected to rise in the future, which is also conducive to the overall development of the economy.
1. The cost of living is more active
Interest rate cut, means that can reduce, make bank deposits flow to the consumption and investment. Single from the point of consumption, the national bureau of statistics of China's consumer confidence survey, in October 2014, urban and rural consumer confidence index was 102.0 and 106.9, respectively. Through this rate cut will boost consumption, consumer confidence in the future is expected to rise, this is good overall upward economic development.