"Savings rates are creeping up from their all-time lows, providing a “spark of hope” for those looking for a better return on their cash, say analysts."
"Savings rates are creeping up from their all-time lows, providing a “spark of hope” for those looking for a better return on their cash, say analysts."
I am not an economist or a historian but I fairly sure that japan accidentally fell into a low interest rate trap during the lost decade and created a zombie economy where failing companies were kept alive via debt and it wasn't possible to raise interest rates without killing these companies in the process.
Looks like we may have done something similar by keeping interest rates low and house prices high to maintain our GDP figures.
Anyone who is more knowledge feel free to correct me.
I am not an economist or a historian but I fairly sure that japan accidentally fell into a low interest rate trap during the lost decade and created a zombie economy where failing companies were kept alive via debt and it wasn't possible to raise interest rates without killing these companies in the process.
Looks like we may have done something similar by keeping interest rates low and house prices high to maintain our GDP figures.
Anyone who is more knowledge feel free to correct me.