Thursday, September 17, 2015

ZIRP in the long view

I just woke up to find out that the US Federal Reserve announces its interest rate at the end of the hour. Apparently this will affect the fates of a number of struggling economies, such as Brazil.

Anyway, the other day I ran across this remark, which puts the current epoch of Fed interest rates in perspective:

"The western world continues to depend on a life-support system, namely zero interest rates, combined with Chinese growth."

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