>New research suggests that ... the drop in interest rates has been caused by changes in population structure and by shifts in the distribution of income.... In

>New research suggests that ... the drop in interest rates has been caused by changes in population structure and by shifts in the distribution of income.... In most economies, baseline interest rates are “set” by central banks. No need for quotes here. People at central banks literally set the baseline interest rate. There's not much evidence for attributing this straightforward bureaucratic process to vague trends in population and income. >Central banks can impose any level of (local currency) borrowing costs on the economy that they want, which is why some say that “interest rates are a policy variable.” But central banks generally avoid exercising that power arbitrarily—and for good reason. Wow bankers have reasons? It seems like this article is not just assuming market efficiency but also banker efficiency. Neither is a good assumption. >the trends in inequality that have retarded growth and have pushed down interest rates were choices that can be changed. This is a radical claim about cause and effect for which there is almost no empirical evidence. AKA pseudo-science.