Interest

 Last evening after a chat about December 21, 2012 I spoke about how economies are false.  They are manipulated by humans.  Below is a historical review of the prime interest rate.  Mortgages are generally set 1% above prime.  

As you peruse this, I am curious as to your thoughts given the history of our world. What do you believe justifies this.  And please do not spew academic nonsense.  This, too, is manipulated to answer the question.

Just 84 years ago this began at 2%.   

1948           2

1956          4

1966           6

1970           8

1972           4.5

1974          11

1975            7

1978          11.75

1980           20

2012            3.25

This is quite of interest to this blogger.  The burst in the bubble happened for a reason. Do you know why?  Think human construct as you respond.