The policy of rapid credit expansion while an interesting concept often brings with it negative consequences. Currently, it is being put to the test as new problems emerge in China where we saw the amount of GDP growth generated by each infusion of money decrease over the last four years.



Savers are suffering from these low-interest rates. The leading edge of the massive Boomer generation knows that every dollar spent is a dollar it cannot re-earn or replenish. Lower rates in effect have caused many older Americans to hoard their wealth. On the flip-side, many people with little savings have rushed out to buy cars and expensive items they really can't afford and pulled consumption forward. The article below looks at some of the unhealthy side-effects of low-interest rates.



http://brucewilds.blogspot.com/2017/03/low-interest-rates-carry-hidden-cost.html