2 ms·
Curious what effects this will have on capital holders deployment of capital. From my loose understanding, in a low rate environment, capital holders try to co
by lumost 4y ago
Curious what effects this will have on capital holders deployment of capital. From my loose understanding, in a low rate environment, capital holders try to control for risk. It’s hard to make up a loss on .5%.
On the other side, if inflation is near 10% - then why wouldn’t you spend the capital you have on a productive asset? Your cash is going to zero from simply doing nothing.