COMMENT:

With an estimated US$12.5 trillion worth of global bonds trading at negative interest rates, how long will it be before New Zealand also has negative rates?

What impact are these sub-zero rates having on financial organisations, the global economy and on investment markets?

The conventional belief was that interest rates could never go below zero because, if this occurred, depositors would rush to their banks and convert their holdings into cash.

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Accordingly, American economist Kenneth Rogoff argued that negative interest rates would only be practical once cash became obsolete.

Although the use of cash is decreasing, it is still

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