The Problem with Record-Low Interest Rates

Fergus Hodgson, January 18, 2021

Interest rates in developed countries have been falling for years as governments prop up economies with easy credit. For Keith Weiner, president of the Gold Standard Institute USA and CEO of Monetary Metals, this cheap borrowing comes at the expense of capital productivity, ultimately eroding trust in fiat currencies such as the dollar.

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Recommended Links

• Visit Keith’s website and follow him on Twitter and Facebook.
• “Dollar Backwardation,” by Keith Weiner.
• “Open Letter to Gregory Mankiw from Keith Weiner,” Monetary Metals.
• “The Puzzle of Low Interest Rates,” New York Times.
• “Powell Sees No Interest Rate Hikes on the Horizon,” CNBC.

If You Liked This Episode

• “Two Myths about Central Banking,” Gold Newsletter Podcast.
• “How the Fed’s Low Rates Became an Addiction,” Gold Newsletter Podcast.
• “Why a New Gold Standard Is Inevitable,” Gold Newsletter Podcast.
• “What the Fed’s Inflation Target Really Means,” Gold Newsletter Podcast.

Fergus Hodgson is Gold Newsletter’s roving editor. Follow him on Twitter and Facebook.