Quote:
Originally Posted by jfman
With borrowing costs at record lows now is the time to commit to public spending.
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All down to The Bank of England doing a lot of Quantitative Easing. But who do they borrow from? And at what rates?
The very low Base Rate means the banks can get income for almost nothing, so they don't need to attract Depositors any more. Hence large drops in Depositor interest rates.
So the Capitalist System demands we "Spend! Spend! Spend!" to support the economy, rather than save for leaner times.
Unfortunately, many have noticed during lockdown that we used to spend far too much money on frivolous things. The missus, for example, sorted out all her clothes and footwear and announced "I never need to buy more ever again!"
