RE: No Real Bottom for the Dollar … (Death of the Dollar–10) with Video
Dear @majes.tytyty
This permanent round of money-printing will rob us of our savings and wealth.
It's hard not to agree with that statement. Amount of money that US printed lately and is planning to pump into system within next weeks is insane. I'm very curious how long will it last before all those newly created currency will not be enough.
Right now "liquidity" issues (mostly within REPO market) are kind of solved.
3 – Zero-interest rates killed the economy.
I've myself not sure if zero-interest rates are yet a killer. As long as we're not in negative territory then it's probably not so bad.
Sometimes I'm wondering what would be impact of negative interests rates and I was amazed to discover that EU entered this negative territory (-0.1%) already 5 years ago. And it didn't really affect local economonies so far in any major way.
So even if it does have an impact on economy, it seem that we may not "feel" it for many years ahead. Perhaps.
Upvote on the way :)
Yours, Piotr
You're right in saying that the effects / impacts have not appeared yet. That's cuz the low rates and the continued printing result in the can being continually kicked down the road. So, there's no impact .... YET.
But this kind of foolish policy is like a junkie who takes more heroin when he starts to feel bad. The immediate result is that he suddenly feels better, even great.
However, we all know what will happen to the junkie. The same thing that will happen to the economy that's been addicted to constant injections of free money.