Do low rates spur investment?
Former IMF head writes there is little hard evidence that low interest rates spur investment
It is frequently claimed that unconventional monetary policy with zero interest rates is conducive to a recovery in investment, since, by definition, financial conditions are easing. But is there any evidence for this assertion?
Global investment remains subduedIn short, the evolution of investment over the last years shows the following trends:
The level of non-residential gross fixed investment in advanced economies as a percentage of GDP has fallen significantly, from 10.5% of GDP inOnly users who have a paid subscription or are part of a corporate subscription are able to print or copy content.
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