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Quadrillian
Lv 7
Zero or negative interest rate. Can this be interpreted to mean that an economy now values debt more than savings?
更新:
As it seems to be saying that bank deposits are being discouraged due to no interest, and hence economic activity must be funded from debt.
更新 2:
In other words I would borrow rather than work and save. Why work and save to buy plant and equipment when I could borrow for an indefinite term for zero or negative interest? If everyone does this, noone works, and the whole economy lives on growing debt. I see big problems with this. Surely devaluation and hyperinflation?
1 個解答
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- 匿名5 年前最愛解答
because the inflation targeting is not working.So it is wrong.
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