When people talk about “Wall Street,” they’re discussing investment firms, corporations, “the 1%”, and everything in between.
When people talk about “Main Street,” they’re really talking about the little guys: small businesses, the middle class, the economy, and more.
Though the two “streets” are completely different, they often have a direct effect on each other. For instance, if Main Street isn’t doing so hot, Wall Street’s bottom line could be impacted due to less consumer spending and less money invested in the market. If Wall Street is doing well, however, it doesn’t mean their good fortune always trickle down.
In fact, there are numerous factors that could impact Wall Street and Main Street’s well-being. That’s why the folks at One Minute Economics created this short video detailing just how Wall Street can truly impact Main Street…and vice versa.
Right now, interest rates are at an all-time high. This means there’s no real incentive to put your money into banks, since you’ll see better growth in the stock market. Though the stock market is doing fairly well, the economy is still in late stages of recovery from the last economic collapse — which is why interest rates are so low in the first place!
Share this video with your friends below, and maybe stay away from bonds and CDs for a while.