Edward Chancellor on the Real Story of Interest
Masters in Business
00:00
The Curse of Cash - Is There Any Alternative?
Negative rates are a tax on capital, which is instituted by an unelected central bank or policy maker without anyone voting for it. The argument with negative rates was that they were going to turbocharge the economies. But in place like Japan and Europe, there was no turbocharging of the economies. In fact, as you know, banks can't make money at negative rates, and they are reluctant to lend.
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