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Rates are low, which signals willingness to invest long term. Are you sure you got the monetary policy right?
by wbl 7y ago
Rates are low, which signals willingness to invest long term. Are you sure you got the monetary policy right?
- wyager 7y agoLong delay, but I just saw this: the availability of loans well below “natural” market rates encourages consumption now, because you can just take out a honking big loan and you won’t have to deal with the consequences for a long time. I.e. it inflates effective time preference.