If that happens - NZ rates negative, then maybe, the ave person will take some notice in OZ. Borrowers rewarded and savers penalised. Anyone with a nest egg already saved up either spends it or invests it in more and more risky sectors due to inflated prices - all due to having no alternative like term deposits = remember those? Interest on savings is over. Doesnt leave much in the way of risk free or low risk investment. ANd anyone trying to save a nest egg - pffft - earn $$, pay tax, spend, pay GST, SAVE anything left over, pay the bank to leave that balance in the bank. On the other hand, borrow (if a worker bee can) at low rates and use that to - buy back your own stock, invest in or purchase assets, gamble in derivative products, Ah the options are endless. Cant see any of the fools in charge anywhere getting a clue let alone being able to do anything for the better ergo - very poor outlook down the road. Many vested interests want/need this pig to keep flying so Id expect more printing, more job losses, more smaller businesses to fold, but ultimately, stimulus will keep it going for a while longer. Not until a few big cos close up for good will the music stop imho
