[OwenKellogg]

What do negative interest rates mean?

There is the potential for a market correction -- or worse.

The author opined on deflation in an article posted here a couple of weeks ago...

http://www.freerepublic.com/focus/f-news/3260274/posts

[OwenKellogg]

The author:

Col. Frank Ryan, CPA, USMCR (Ret) and served in Iraq and briefly in Afghanistan and specializes in corporate restructuring and lectures on ethics for the state CPA societies. He has served on numerous boards of publicly traded and non-profit organizations.

[Soul of the South]

Artificially low interest rates allow the US government to spend freely and continue running up large deficits. If rates were 5 or 6 percent, payments on the debt would force the government to reduce spending dramatically, raise taxes, or default.

[Pontiac]

In essence those who lent Germany this money were willing to pay the German government for the privilege of the government holding the investor’s funds for 5 years.

If I understand this correctly you loan the government your money and get 0.08% less per year they keep it.

What kind of fool would take up a deal like this is beyond me.

[FirstFlaBn]

about the return of principle than the return on principle.

More semi-literacy by another so-called professional writer. Did he miss 4th Grade?

[PGalt]

Very interesting. Thanks for posting.

Derivatives to paper over the devaluation of the paper derivatives accumulated by those who were able to outrun the paper chase when they were young and strong. Fascinating fiat fascism. Manipulative marxists.

Socialism Is Legal Plunder - Bastiat