How Low Can Central Banks Go? JPMorgan Reckons Way Lower

Re:How Low Can Central Banks Go? JPMorgan Reckons Way Lower by bradleyjg on Wednesday February 10, 2016 @02:35PM (#11075350)

How it is a wealth transfer? Is there some fundamental right to risk free interest?

Banks provide a service and those services cost money. If the value to the bank of your money is less than it costs to provide those services than you need to make up the difference. No one is being "screwed".

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Re:How Low Can Central Banks Go? JPMorgan Reckons Way Lower by TheOtherHobbes on Wednesday February 10, 2016 @09:12PM (#11077794)

The way it actually works is that if the value of a bank to society is less than the profit the bank wishes to make, even after making stupid and bad business choices, taxpayers need to make up the difference.

Hence "screwed."

[ Parent | on HN ]