IMF - How to Make Negative Interest Rates Work

Discussion in 'Markets & Economies' started by willrocks, Feb 17, 2019.

  1. willrocks

    willrocks Well-Known Member Silver Stacker

    Joined:
    May 10, 2012
    Messages:
    7,252
    Likes Received:
    3,842
    Trophy Points:
    113
    Summary: To get around the problem of negative interest rates the IMF proposes to divide the monetary base into two separate local currencies. Cash and e-money. Cash would have an exchange rate against e-money. The conversion rate would devalue cash.

    https://blogs.imf.org/2019/02/05/cashing-in-how-to-make-negative-interest-rates-work/
     
  2. Oddjob

    Oddjob Well-Known Member Silver Stacker

    Joined:
    Aug 19, 2018
    Messages:
    4,174
    Likes Received:
    5,280
    Trophy Points:
    113
    Location:
    Oz
    Hmmmm, CB's want to get rid of physical cash so they can control the system, you and I better. So if we go down this path, our local FIAT currency get devalued and something like an SDR (IMF controlled) becomes the e-money which we drift to an SDR (other e-money equiv) as it had greater purchasing power to begin with as physical cash devalues?
     
    willrocks likes this.
  3. pmbug

    pmbug Active Member

    Joined:
    Oct 22, 2011
    Messages:
    312
    Likes Received:
    71
    Trophy Points:
    28
    Location:
    Texas

Share This Page