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Low Interest Rates Are Hurting, Not Helping, The Economy: Sheila Bair

Thursday, April 18, 2013 - 2:01 PM
Sheila Bair, former FDIC chair, makes some good points in this Yahoo Finance article:
“The Fed has got the best of intentions…but it’s counterintuitive,” she argues. “Low rates dampen the incentives to invest.”

The Fed’s monetary policies have made it more difficult for banks to generate revenue, forcing them to seek profits in other ways, she notes.

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7
Ken TuminKen Tumin5,441 posts since
Nov 29, 2009
Rep Points: 123,651
1. Thursday, April 18, 2013 - 6:47 PM
Did Ms. Blair just have this epiphany after she left office as Chair of the FDIC?
2
ShorebreakShorebreak2,362 posts since
Apr 6, 2010
Rep Points: 12,562
2. Thursday, April 18, 2013 - 8:29 PM
1st entry- That is what I tell all the financial institutions asking me to open another account.

2nd entry- "Seek profits in other ways".....look for more and higher fees to cover the losses when government starts taxing their profits. (Thanks to pearl for her earlier entry ref this)
3
klinkklink85 posts since
Dec 8, 2012
Rep Points: 228
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