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User ID: 77025818 Netherlands 02/27/2019 06:42 AM
Report Abusive Post Report Copyright Violation | Negative interest rates may be the future. Interest rates have gone down in recent decades and neared zero after the financial crisis of 2008. Many economists believe that interest rates will go up again at some point. But what if that doesn't happen? What if low and negative interest rates become the new normal? Several factors contributed to low interest rates. These factors do not go away when interest rates reach zero. The abundance of capital may be accompanied by wealth inequality as the wealthy are more inclined to save and invest. The more income is redistributed from the wealthy to the poor, the higher interest rates can be as poor people tend to consume a larger part of their income. Hence, there will be fewer savings and interest rates can be higher. If governments fail to redistribute income, markets may react with negative interest rates so that wealth is redistributed from those who own assets to those who are in debt. More: [ link to www.naturalmoney.org] |
Anonymous Coward User ID: 66483011 Australia 02/27/2019 07:03 AM Report Abusive Post Report Copyright Violation | What does it matter when so many live from paycheck to paycheck with no savings? |
Anonymous Coward User ID: 77399796 United Kingdom 02/27/2019 07:05 AM Report Abusive Post Report Copyright Violation | What does it matter when so many live from paycheck to paycheck with no savings?
Quoting: Anonymous Coward 66483011 It gets the last few that don't. |