Can negative interest rates really work?

posted by
September 8, 2011
Adam Smith Institute
by Peter Morgan  
Posted in Commentary

"The aim of negative interest rates is to increase liquidity in the market creating higher demand for goods, artificially compensating for the decline in consumption. However there are questions as to whether a negative interest rate would actually have an impact on consumption and create the level of demand desired." (09/08/11)  

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