16 Mar 2020, 6:02 pm
16 Mar 2020, 6:18 pm
naturalplastic wrote:
Well...every other country is just as desperate as we are because of the scare. So it cancels out. And as both Trump, and Krafty said, things should bounce back.
But...
who knows? It may come to THIS.
move the slider on the bottom of the screen to 42:00, and listen to a possible future presidential speech!
But...
who knows? It may come to THIS.
move the slider on the bottom of the screen to 42:00, and listen to a possible future presidential speech!
Not old enough to remember him myself, but had a smile at it
Here’s how our Prime Minister at the time announced the end of empire (for comparison):
Most likely the wealth that’s currently being put into gold and tax havens will re-emerge on the US stock market... but maybe not all of it. We’ll have to see
(Working on the assumption that stock market valuation affects a businesses ability to raise capital via borrowing as much as interest rates... )
Bradleigh
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Joined: 25 May 2008
Age: 35
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Posts: 6,669
Location: Brisbane, Australia
16 Mar 2020, 6:52 pm
16 Mar 2020, 6:53 pm
16 Mar 2020, 7:51 pm
vermontsavant wrote:
Let's talk economics,we have 0 percent interest rates in the US.
I have never understand economics,it's to absract, I like to read history a lot and I do well with more straight forward factual things,not absract things so much.
What does all this mean and what will 0 percent interest rates do for or against the economy.
I have never understand economics,it's to absract, I like to read history a lot and I do well with more straight forward factual things,not absract things so much.
What does all this mean and what will 0 percent interest rates do for or against the economy.
An "expert" in finance mentioned the real reason for such low interest rates is to encourage people to spend.
The rationale is: If money isn't earning in the bank, etc, people haven't any real incentive to keep it there and tend to want to buy things. That was my thinking, not that long ago, also.
My best advice is to put it into something safe which earns a lot more than what you get by putting it in the bank.
The share market, for example, errr.
D'oh!
16 Mar 2020, 7:57 pm
Bradleigh wrote:
My belief for reasons to put 0% interests where they are could be try and qual fears that if the market goes bad from the virus and many people are not making much money, they may not need to worry so quickly over their interest payments going out of control. Prevent some bankruptcy, so people can still spend, at least this is the case if this 0% is being put into place for just a short period of wanting to shut down the economy momentarily as part of a lockdown to stop spread and qual fears. You are going to see a lot of investors not too happy about making no money from new loans, since they might as well just keep it in their bank accounts.
Also, companies generally gain when the interest rates are low.
I think part of the thinking is to help businesses survive.
Then there is also the mortgage market to consider.
naturalplastic wrote:
If I agree to lend you money- which would you prefer?
A) I charge you high interest.
B)I charge you low interest
c) That I charge you no interest at all.
Probably C.
A) I charge you high interest.
B)I charge you low interest
c) That I charge you no interest at all.
Probably C.
Or D.
You are so spooked you hide under the bed.
I have chosen "D".
16 Mar 2020, 8:05 pm
16 Mar 2020, 8:23 pm
16 Mar 2020, 8:59 pm
16 Mar 2020, 10:08 pm
16 Mar 2020, 10:11 pm
16 Mar 2020, 10:21 pm
17 Mar 2020, 8:26 am
17 Mar 2020, 10:27 am
17 Mar 2020, 4:07 pm
Pepe wrote:
vermontsavant wrote:
Let's talk economics,we have 0 percent interest rates in the US.
I have never understand economics,it's to absract, I like to read history a lot and I do well with more straight forward factual things,not absract things so much.
What does all this mean and what will 0 percent interest rates do for or against the economy.
I have never understand economics,it's to absract, I like to read history a lot and I do well with more straight forward factual things,not absract things so much.
What does all this mean and what will 0 percent interest rates do for or against the economy.
An "expert" in finance mentioned the real reason for such low interest rates is to encourage people to spend.
The rationale is: If money isn't earning in the bank, etc, people haven't any real incentive to keep it there and tend to want to buy things. That was my thinking, not that long ago, also.
My best advice is to put it into something safe which earns a lot more than what you get by putting it in the bank.
The share market, for example, errr.
D'oh!To encourage people to spend. Yes. Also, here in the UK they keep showing shops with empty shelves and telling people not to panic buy.
Uhmm. The whole concept is to GET people to panic buy so they can inject a massive income into the economy go save it from a total collapse? Here in the UK, from what I have heard there are negative interest rates (Or they are talking about them).
17 Mar 2020, 7:50 pm
