I love this, you did a great job at explaining the pros and cons of elevated interest rates. Another thing that higher interest rates help with, it gives more flexibility to central banks to manage recessions…when there is sluggish economic activity, and low inflation (or deflation), Central banks can drop rates, making borrowing less expensive, so people spend more, which fuels economic activity, which softens the negative impact of a recession. When rates were zero, it was much harder to manage recessions without printing more money, buying financial assets, and inflating central bank balance sheets.