{"id":7210,"date":"2022-10-13T12:16:33","date_gmt":"2022-10-13T12:16:33","guid":{"rendered":"https:\/\/newmoneyreview.com\/?p=7210"},"modified":"2022-11-13T14:22:44","modified_gmt":"2022-11-13T14:22:44","slug":"central-banks-zero-rate-folly","status":"publish","type":"post","link":"https:\/\/newmoneyreview.com\/index.php\/2022\/10\/13\/central-banks-zero-rate-folly\/","title":{"rendered":"Central banks\u2019 zero-rate folly"},"content":{"rendered":"<p>By keeping interest rates near zero for over a decade, central banks have created profound economic insecurity and financial fragility.<\/p>\n<p>That\u2019s the argument of financial historian Edward Chancellor, guest on <a href=\"https:\/\/blubrry.com\/newmoneyreview\/90395257\/central-banks-zero-rate-folly\/\">the latest <em>New Money Review<\/em> podcast<\/a>.<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-7212\" src=\"https:\/\/newmoneyreview.com\/wp-content\/uploads\/2022\/10\/ec.jpg\" alt=\"\" width=\"199\" height=\"253\" \/><\/p>\n<p><em>Edward Chancellor<\/em><\/p>\n<p>Chancellor, author of a new book called \u2018<em><a href=\"https:\/\/www.penguin.co.uk\/books\/448594\/the-price-of-time-by-chancellor-edward\/9780241569160\">the Price of Time<\/a><\/em>\u2019, says that extremely low interest rates have caused unsustainable asset price inflation, including the recent bubbles in cryptocurrency and tech stocks.<\/p>\n<p>And near-zero rates, says Chancellor, are also largely responsible for the weak economic growth, rising inequality, zombie companies, elevated debt levels and the pensions crises that have afflicted the West in recent years.<\/p>\n<p><a href=\"https:\/\/blubrry.com\/newmoneyreview\/90395257\/central-banks-zero-rate-folly\/\">Listen to the podcast<\/a> to hear Chancellor and <em>New Money Review <\/em>editor Paul Amery discuss:<\/p>\n<ul>\n<li>How low interest rates have created tensions in markets, the economy and society<\/li>\n<li>The ancient debate over whether money should pay interest<\/li>\n<li>Why the lender at interest is \u2018selling time\u2019<\/li>\n<li>Enlightenment thinking, natural rights and interest on loans<\/li>\n<li>Low interest rates, credit bubbles, financial manias and crashes<\/li>\n<li>Why John Law\u2019s 1720 Mississippi scheme prefigured quantitative easing<\/li>\n<li>How Ben Bernanke turned the Fed into the world\u2019s largest hedge fund<\/li>\n<li>The parallels between financial markets and complex natural systems<\/li>\n<li>The UK\u2019s leveraged pension fund debacle<\/li>\n<li>Why the lowest rates ever created the everything bubble<\/li>\n<li>Iceland\u2019s post-2008 debt jubilee<\/li>\n<li>Capital controls and why financial globalisation is coming to an end<\/li>\n<\/ul>\n<p><em><a href=\"http:\/\/eepurl.com\/du6eTr\">Sign up here<\/a>\u00a0for the New Money Review newsletter<\/em><\/p>\n<p><em><a href=\"https:\/\/blubrry.com\/newmoneyreview\/\">Click here<\/a>\u00a0for a full list of episodes of the New Money Review podcast: the future of money in 30 minutes<\/em><\/p>\n<p><span style=\"text-decoration: underline;\">Related content from\u00a0<em>New Money Review<\/em><\/span><\/p>\n<p><a href=\"https:\/\/newmoneyreview.com\/index.php\/2020\/06\/11\/negative-rates-will-shake-up-society\/\">Negative rates will shake up society<\/a><\/p>\n<p><a href=\"https:\/\/newmoneyreview.com\/index.php\/2020\/03\/13\/uk-ponders-negative-rates-on-e-cash\/\">UK ponders negative rates on e-cash<\/a><\/p>\n<p><a href=\"https:\/\/newmoneyreview.com\/index.php\/2021\/11\/23\/central-banks-will-provoke-the-next-financial-crisis\/\">Central banks will provoke the next financial crisis<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>By keeping interest rates near zero for over a decade, central banks have created profound economic insecurity and financial fragility. That\u2019s the argument of financial historian Edward Chancellor, guest on [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":6717,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_exactmetrics_skip_tracking":false,"_exactmetrics_sitenote_active":false,"_exactmetrics_sitenote_note":"","_exactmetrics_sitenote_category":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[1013,1012,1053,1026,1027,1014,1011],"tags":[1726,2175,2176],"class_list":{"0":"post-7210","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-account","8":"category-exchange","9":"category-featured-1","10":"category-latest-slider","11":"category-our-picks","12":"category-payment","13":"category-value","14":"tag-ben-bernanke","15":"tag-edward-chancellor","16":"tag-the-price-of-time"},"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v24.3 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Central banks\u2019 zero-rate folly - 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