Those negative interest rates ( NIRP ) , currently the darling of desperate
government economists , do not work as planned .
Apparently NIRP are more likely to scare the affluent instead of spending they save .
How do we know ?
Well because that is what has been happening in Japan ?
Well inflation never rose for a variety of reasons (not the least of which was
that QE and ZIRP actually contributed to the global disinflationary impulse)
and nothing will incentivize savers to keep their money in the bank like the expectation of deflation.
Who would have thought , scared people save .
Full article here .