Usually deposits at most banks will pay the depositor an interest rate in exchange for the loan of the funds. Banks then take the money and lend a portion of it out to companies who are looking for loans. These companies will always pay some form of interest on the loan regardless of what the bank in offering to its depositors. In recent years many countries around the world (including European Countries) have seen negative interest rates imposed on their economies. Please explain in your own words with appreciate references why the European Central Bank would impose negative interest rates on themselves? Also, discuss in theory what effects that should have on the value of that countries currency. Be as detailed as you can. If the US imposed negative interest rates would you still put your money in the bank or would you hide it under your mattress?

please no plagiarism