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With interest rates already so low, people are sure putting their hopes into monetary policy and another round of quantitative easing. This would usually be a
by gdubs 7y ago
With interest rates already so low, people are sure putting their hopes into monetary policy and another round of quantitative easing.
This would usually be a good time to talk about fiscal stimulus options.
- to11mtm 7y agoEhhhhh You have to be careful with that. The market is a fickle beast; there's a chance that a stimulus too early may make future stimulus less effective, since "it didn't work earlier".
- pbourke 7y agoI think they should be planning for a substantial fiscal stimulus. Something like a temporary expansion in medicare, guaranteed free testing, etc. A temporary expansion in funds for paid sick time. Expansion of unemployment benefits. Or just say fuck it and cut people checks every month for a while. Plan to have these ready in case they're needed. Health-related ones can probably be activated soon (esp testing). Chance of any of this happening: 0%.
- brettproctor 7y agoHong kong already giving out $1,200 to each resident: https://fortune.com/2020/02/26/hong-kong-economy-stimulus-cash-handout/ https://fortune.com/2020/02/26/hong-kong-economy-stimulus-ca...
- steve76 7y agoHigher prices to bail out the people who turned a job interview into the Olympics.
- webninja 7y agoInterest rates are only in the range of 1.5 to 1.75 basis points... Historically, the Fed has had to cut interest rates by 4 basis points to pull the US out of previous recessions, IIRC. It doesn’t take a math major to tell we have a big issue if this slowdown turns into a recession.