Why wont anyone lend money at a negative nominal rate of interest? How can this pose problems

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Why won’t anyone lend money at a negative nominal rate of interest? How can this pose problems for monetary policy?

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Macroeconomics

ISBN: 9781464110375

4th Edition

Authors: Paul Krugman, Robin Wells

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Question Posted: Feb 28, 2024 04:01 AM

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Why wont anyone lend money at a negative nominal rate of interest? How can this pose problems

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Negative Nominal Interest Rates and Lending Negative nominal interest rates occur when lenders are charged to hold deposits or when borrowers receive ...View the full answer

Macroeconomics

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