In every culture, low interest rates impact the fabric of society and mindsets in distinct ways. Each country thus develops its unique manifestation of nihilism.
Interest rates are the mechanism by which risk links the world of economics and society.
Negative interest rates have a pernicious effect on human beings. They corrode the structures of society, culture and people’s mindsets, triggering widespread resignation and even nihilism.
We now witness the marks of the inverted universe of ultra-loose monetary policy and lax central banking.
Is a chastened West that has lost its positive edge doomed to cede innovative impulses for global affairs to China?