Able Quote by Paul Achleitner
“Since loans are getting more expensive and there's less money available, we're seeing a commensurate decline in growth. Higher costs and lower growth, in turn, translate into lower profits. Figuratively speaking, in the future, we won't be able to run as far or jump as high as we used to.”
About This Quote
Source Speech: Economic Outlook, 2023, European Business Forum
Rising loan costs and tighter credit reduce growth, which then cuts profits, limiting future economic performance
In simple terms: Higher borrowing costs shrink growth and profits, limiting future potential
Key Takeaway
Monitor credit conditions and adjust investment strategies
Themes
economics
finance
growth
profitability
risk
Mood
cautious
analytical
concerned
Type
analytical
analytical
When to use this quote
- Corporate budgeting
- investment planning
- policy analysis
- risk management
Key Concepts
Monetary policy
interest rates
credit cycles
business cycles
Questions to Reflect On
- How can firms sustain profitability when credit tightens?
- What policy tools can mitigate credit‑driven slowdowns?
A Different Perspective
If growth stalls, firms may face liquidity crises despite cost cuts
