Question
In the light of your findings, comment on the excerpt below from The Economist: Buttonwood 4-10 March 2017. If there is one aspect of the
In the light of your findings, comment on the excerpt below from The Economist:
Buttonwood 4-10 March 2017.
"If there is one aspect of the current era sure to obsess the financial historians of
tomorrow, it is the unprecedented low level of interest rates. Never before have deposit
rates or bond yields been so depressed in nominal terms, with some governments even
able to borrow at negative rates. It is taking a long time for investors to adjust their
assumptions accordingly. Real interest rates (i.e., allowing for inflation) are also low.
As measured by inflation-linked bonds, they are around minus 1 % in big rich
economies."
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