What Negative Interest Rates Mean for the World
Odd Lots
Bloomberg
4.4 • 1.6K Ratings
🗓️ 12 August 2019
⏱️ 39 minutes
🧾️ Download transcript
Summary
The amount of negative-yielding debt keeps climbing and now includes bonds issued by emerging market countries and some junk-rated companies. On this week's episode, we talk to Viktor Shvets, Macquarie's Head of Asia Strategy, about why interest rates keep getting lower and why that's a problem for the global economy and financial system. He argues that undermining the 'time value' of money–or the principle that money available now is worth more than money in the future because you can use it to earn additional money–won't lead to economic growth. In fact, he says, negative rates are going to end up leading to a rethink of modern capitalism and political society once people realize they have big consequences. He's also one of the few sell-side analysts who takes Modern Monetary Theory (MMT) pretty seriously.
See omnystudio.com/listener for privacy information.
Transcript
Click on a timestamp to play from that location
| 0:00.0 | Join us in New York on November 29th for the Bloomberg Canadian Finance Conference, |
| 0:04.6 | proudly sponsored by National Bank of Canada Financial Markets. |
| 0:07.8 | 2023 marks the 11 year anniversary of our Canada focused event and continues the tradition of providing timely |
| 0:13.8 | insights and actionable strategies. We'll have senior government |
| 0:17.1 | officials from Saskatchewan, Quebec, British Columbia, Alberta and Ontario as well |
| 0:21.9 | as speakers from Northland Power, World Bank, Transolta, and many more. |
| 0:26.0 | Register at Bloomberg Live.com slash Canadian Finance slash radio. |
| 0:31.3 | Hello Odd Lots listeners, it's Joe Wiesenthal. |
| 0:34.0 | Before we get to today's show, I wanted to let you know |
| 0:38.0 | that Odd Lots is hosting its first ever |
| 0:41.0 | live event on September 19th here in New York City. |
| 0:45.0 | Join me and Tracy Eloway as we host an all-star lineup of guests to talk about |
| 0:49.8 | cryptocurrency, white-collar fraud, modern monetary theory, and more. |
| 0:54.4 | We'll even have some finance-themed live music, including some songs, by yours truly. |
| 0:59.8 | So keep listening to Odd Lots all this month to find out more details about the live show, |
| 1:04.6 | but for now, mark your calendars for Thursday, September 19th for the first ever Odd Lot |
| 1:10.4 | Variety Show. Hello and I'm |
| 1:25.0 | welcome to another episode of the Odd Lots Podcast. I'm Tracy Allaway. My co-host |
| 1:29.6 | Joe Wisenthal is away, but I was thinking the other day and I realized that Joe and I have never really done an episode on negative interest rates and while we've had instances of negative yielding bonds before. |
| 1:44.0 | Over the course of the summer, |
| 1:45.6 | this has actually become a really big topic. |
| 1:48.9 | By some estimates, the world has, I think, |
... |
Please login to see the full transcript.
Disclaimer: The podcast and artwork embedded on this page are from Bloomberg, and are the property of its owner and not affiliated with or endorsed by Tapesearch.
Generated transcripts are the property of Bloomberg and are distributed freely under the Fair Use doctrine. Transcripts generated by Tapesearch are not guaranteed to be accurate.
Copyright © Tapesearch 2025.