What happens if interest results stay so low/decline even further? (user search)
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  What happens if interest results stay so low/decline even further? (search mode)
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Author Topic: What happens if interest results stay so low/decline even further?  (Read 1251 times)
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CrabCake
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« on: October 26, 2015, 10:00:05 AM »

So China's Central Bank is cutting interest, and Japan, Europe, the U.S. and UK have historically low interest rates as well. My understanding is this will be maintained until investment rises or inflation becomes a threat. So what happens if we see a long prolonged period of effectively zero interest?
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CrabCake
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Posts: 19,367
Kiribati


« Reply #1 on: October 26, 2015, 10:41:23 AM »

So will nobody will save anything at all then, and all liquid capital will flow into assets?

The thing is investment doesn't seem to be that high at the moment, even with the low interest. Where is the money going?
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