On: The Fed Wants to Test How Banks Would Handle Negative Rates

[lasermike026]

I wonder what it would do to commodity prices?

[ihsw → lasermike026]

Commodity prices have already crashed through the floor, seeing them crash further may actually start freaking people out.

Frankly I think we need to stimulate the demand side of things -- give people free money, and don't let the banks screw it up like the subprime mortgage crisis.

[dragonwriter → ihsw]

> Frankly I think we need to stimulate the demand side of things

That's a fiscal policy choice that would take action by Congress, and doesn't seem likely with the Congress we have.

OTOH, if people get to care enough about it, well, it is an election year, so in principal that could change.