Monetary policy in Finland affects the economy through interest rates and exchange rates. The relationship between interest rates and GDP is negative, with interest rates having a stronger impact on GDP than the other way around. The study found that changes in interest rates have a close to unity effect on GDP. For private consumption, interest rates affect the future price of goods, leading to different effects on non-durable and durable purchases. Interest rates also impact private investment by influencing the cost of investment and debt financing. Financial deregulation has changed the importance of interest rates in different sectors, with housing investment being more sensitive to interest rates than manufacturing investment.