Inside the murky world of negative interest rates - Counting the Cost
Economy | Information | History | Online | Facts | World | Global | Money
Every year, bankers from the US Central Bank and leading economists gather in Jackson Hole, Wyoming, to discuss the state of the global economy and its future. Ever since the financial crisis in 2008, central banks have been trying to plug monetary holes - pumping trillions of dollars into the global financial system. Among other measures, a growing number of central banks around the world have cut key interest rates below zero, which means that commercial banks have to pay to keep their funds on deposit with a central bank. Nearly 500 million people are now living in countries with negative interest rates, which are meant to get people spending money and boost economic growth. But a recent in-depth study from Standard and Poor's on the impact of sub-zero interest rates warns that they could have unintended consequences for the global economy and could possibly lead to cash hoarding by consumers. It also means that the 'have-nots' are not even getting the chance of becoming the 'haves' - creating a wider wealth gap than ever before. So what is the impact of negative interest rates? And what are the challenges, benefits and longterm consequences? We talk to Maximilian Kunkel, an investment strategist with UBS, to discuss interest rates, driving economic growth across the globe, and monetary policies in the US. Also on this episode of Counting the Cost: EU-nity? Life after Brexit: As European leaders meet on an aircraft carrier off the Italian coast to discuss the future of the EU post-Brexit, it seems that Europe can't wait for the UK to figure out what Brexit means. But how acute is the European problem? And what will happen after Britain's exit? Bernhard Bauhofer, the founder and CEO of Sparring Partners, talks about the European crisis and the impact on EU countries and its people. Solar rush: Good news from the world of renewable energy: there's new data suggesting we are generating more energy from the sun and winds than ever before. We find out what has changed in the past few years, what's made the difference and how to keep track. Vicente Lopez-Ibor Mayor, from Lightsource Renewable Energy, talks about the latest developments in the renewable energy sector. Nature and livelihoods on the line: The cloud forests of Costa Rica are being threatened by rising global temperatures and could soon be gone. That's the stark warning from scientists who have studied the region for decades. Andy Gallagher reports from Costa Rica. - Subscribe to our channel: http://aje.io/AJSubscribe - Follow us on Twitter: https://twitter.com/AJEnglish - Find us on Facebook: https://www.facebook.com/aljazeera - Check our website: http://www.aljazeera.com/
Comments
-
Note that negative interest rates is only negative for banks at the interbank market. Also please don't go crazy because money isn't what you thought it was.
-
these people are rich compared to other people in China or east europe
-
There is enough space, money, and jobs. Unemployment is created to keep income low.
-
people are waking up in large numbers to the fact that central banks lend worthless paper money to govt. with interest that cannot ever be paid and when the bill/debt is due the central banks come in and confiscate real valuable tangible assets, further still the final conclusion one must make is to buy hard physical assets that can be stored safely away while the paper currencies loose all value, my understanding is that many people are now buying physical gold and silver to do just that, to preserve the fruits of past and present labor for use in the future, over 2000 years currencies with no real value had all lost all purchasing power while gold and silver still after 2000 years is redeemable for 'stuff', despite periods of Prohibition and confiscation laws because precious metals has always out lived mans laws.
-
Why do people follow islam? In the karan (quran) it tells you to believe the gospel. The gospel says that GOD has only known one nation, one people, the Israel people, the Jews, GOD said he would ONLY deal with that one nation, that one people. JESUS told us that the last prophet was John the baptist. So was mohammed born before John the baptist? NOPE! Was mohammed a Jew? NOPE Was mohammed from Israel? NOPE! This tells us then that mohammed was a false prophet, the very thing that JESUS warned all of us of hundreds of years before mohammed was even born. We know that mohammed sleeps with the worms as he did what GOD and JESUS warned of, THEY BOTH warned not to add nor to subtract from THEIR words. Even though there have been hundreds of different translations of the gospel all of the translations tell us the same thing, GOD only has known one nation, one people, that HE would only deal with one nation and one people. Just as Eve was deceived by satan so was mohammed when he thought he saw the angel Gabriel or he was just flat out lying. All through the gospel we are told to try every spirit, mohammed account does not match up to the gospel so we know he is a false prophet that sleeps with the worms. Everyone needs to reject islam! It is a false religion, believe the gospel, believe in the GOD of Abraham, Isaac and Jacob, the GOD of Daniel and Noah, the GOD of Paul and James, but not the god of mohammed as his god is called allah also known as satan. The gospel tells us that satan is the most subtle beast in the field, that he would transform himself into an angel of light, satan does that through all the false religions such as islam, buddhist, catholics to just name a few. Repent before it is to late! ALL GLORY BE TO THE MOST HIGH! AMEN!
-
Negative interest rates are a bad joke.
If Banks do not have savings to draw on for lending then they will lend on leverage. That did not work out so well last decade, negative interest give Banks no other option (and an irrefutable excuse when things go wrong). -
THE PROBLEM IS NOBODY IS LENDING TO THE HAVE NOTS..THE HAVES HAS BROUGHT UP EVERYTHING SO THEY ARE SELLING TO THEMSELVES..
-
No problem, p2p money like Bitcoin will save us. A new depression will simply speed up the acceptance of eDollars
-
Take an empty can, and then put 10 marbles into the empty can, then take 11 marbles out of the can.
If you can not take 11 marbles out of the can you put 10 marbles into, then the Euro can likewise not work, as the Euro lends 10 marbles/Euros out and then expects to get paid 11 marbles/Euros back.
For the last 5,000 + years the whole world has had a single world currency, GOLD.
Get rid of the Banksters who want 11 marbles/Euros back after lending out 10, and continue using the money that has never failed for all of recorded history.
26m 1sLenght
41Rating