In the spring of 2016, an article on cnbc.com noted: Yields on the benchmark 10-year JGB [Japanese

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In the spring of 2016, an article on cnbc.com noted: “Yields on the benchmark 10-year JGB [Japanese government bond] have turned negative, which essentially means that bondholders are paying for the privilege of lending money to the Japanese government.” Why would bondholders pay to lend money to the Japanese government? Shouldn’t the Japanese government be paying the bondholders to borrow their money?

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Money Banking And The Financial System

ISBN: 1801

3rd Edition

Authors: R. Glenn Hubbard, Anthony Patrick O'Brien

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