Meuser: Fed Rate Hike Won't Move Economy

Rep. Dan Meuser (R-Pa.) stated that the Federal Reserve's impending quarter-point interest rate increase will have little effect on the economy either way.

The congressman told Newsmax that a 25-basis point hike 'really wouldn't have too much of an effect either way.'

Meuser pointed to unemployment at 4.1% and rising borrowing costs, including bond rates now at 5.0% and mortgage rates that have already increased.

'The economy needs more investment on the supply side,' Meuser said, citing Fed Chair Kevin Warsh's emphasis on market forces over central bank action.

The congressman believes that lower interest rates drive investment, which can help bring down inflation as the supply side exceeds demand.