The Limits of Negative Rates To Spur Growth
Quote from Ndubuisi Ekekwe on January 24, 2020, 11:32 AMNegative interest rates are supposed to incentivize spending, and spending is supposed to spur domestic investment. Look at these plots, you can see limitations.
The conclusion: "It’s becoming abundantly clear that stimulating growth through creative monetary policy has real limitations, and that reality is going to increasingly hamstring central bankers in the future".
Source: Fortune
Negative interest rates are supposed to incentivize spending, and spending is supposed to spur domestic investment. Look at these plots, you can see limitations.
The conclusion: "It’s becoming abundantly clear that stimulating growth through creative monetary policy has real limitations, and that reality is going to increasingly hamstring central bankers in the future".
Source: Fortune
Register for Tekedia Mini-MBA edition 18 (Sep 15 – Dec 6, 2025) today for early bird discounts. Do annual for access to Blucera.com.
Tekedia AI in Business Masterclass opens registrations.
Join Tekedia Capital Syndicate and co-invest in great global startups.
Register for Tekedia AI Lab: From Technical Design to Deployment.
Uploaded files: