Central bank’s negative interest rates equal Stalinesque collectivisation

Stalin was a shitty economist. Collectivisation, forced de-competivisation of farms, did not bring about economies of scale but rather economies of starvation and death. Negative interest rates by Central Banks globally is having the same effect. Loans are being forced to flood the globe with supply regardless of fact there is no demand.

Negative interest rates are in effect urging banks to make new loans regardless of the demand for such funds: https://t.co/xPtiEMs8Or

— Beate Reszat (@rszbt) February 20, 2016