Sentences with phrase «interest rate policy encouraged»

Although Mark Carney has been unable to compel Canadians to stop borrowing as long as his interest rate policy encourages the opposite, credit growth has at least begun to slow.

Not exact matches

Lane added some texture to the central bank's decision to increase interest rates, saying policy makers were encouraged by «widespread strength» in exports and business investment.

I would encourage you to remember that the current low levels of interest rates, while in the first instance a reflection of the Federal Reserve's monetary policy, are in a larger sense the result of the recent financial crisis, the worst shock to this nation's financial system since the 1930s.

There is no evidence that the policy, which encourages borrowing by keeping long - term interest rates low, has inflated dangerous bubbles in the stock market and residential real estate, she said.

After all, when a central bank influences the cost of financing through changes in the policy interest rate, its actions affect the economy by changing asset prices, encouraging or discouraging risk taking, and influencing credit flows.

Lastly, as noted in BCA's 2014 outlook report: In a liquidity trap, where interest rates reach the zero boundary, the linkage between monetary policy and the real economy is asset markets: zero short rates act to subsidize corporate profits, drive up asset prices and encourage risk - taking.

If quantitative easing and zero - interest rate policy made anything legitimately «different» about this half - cycle, it was to disrupt that historical reliability, and to encourage investors to continue speculating even after those extreme syndromes emerged.

I think over the past 10 years, due to the zero - interest - rate policies by the global central banks, we have had a massive amount of debt issuance that's occurred as investors had been encouraged to go out the curve or down the credit curve in order to seek income, seek yield.

Investors feel encouraged to invest in economies with stable interest rate policies and it is to Canada's benefit not to change interest rates too much or too often.

By good financial management and fiscal prudence, and by removing uncertainties about our commitment to build a better economy, our goal is to signal downward trends in inflationary expectations, and encourage downward trends in the monetary policy rate setting and interest rates pricings by commercial banks.»

A continuing low interest rate policy of the Federal Reserve that encourages investors to seek higher returns in riskier assets.

If the Bank of Canada was hoping its low - interest rate policy would encourage spending it can relax — it's working.

These policies, through maintaining low - interest rates and encouraging businesses to hire, have spurred investors «into riskier, higher - yielding assets, including commercial real estate».

Right now, it appears the economy will have to pay the price for interest rate and regulatory policies which encouraged over-aggressive borrowing.

OTTAWA — The Bank of Canada's governor says today's era of stubbornly low interest rates means it's time to revisit retirement plans, temper business investment expectations and encourage policy - makers to pounce on smaller morsels of economic opportunity.

A much simpler method to achieve negative real interest rates and provide a disincentive to holding cash, is for governments to encourage mildly inflationary monetary policy; indeed, this is what Keynes recommended back in 1936.

Monetary policy could also be used to stimulate the economy — for example, by reducing interest rates to encourage investment.

Ryan and Louis discuss the direction of interest rates and inflation, the reluctance of the Fed to recognize the inflation threat, the impact of foreign countries raising their interest rates to combat inflation; the Fed's Vice Chairman Janis Yellen's view that inflation and the rise of commodities won't impact the «recovery», blaming rising global demand and disruptions of supply, not the easy money policy of the Fed; encouraging consumer confidence so they borrow more money to buy things they don't need to stimulate the economy, loan officer compensation, banks» use of Fed loans and banks» preference of trading operations over mortgage lending; credit squeeze; increased lending standards; the advantage of getting a low interest loan now before interest rates and inflation rates rise; the problems with Fannie Mae and Freddie Mac; the Democrats, Republicans and President avoid a government shutdown and what might have happened if it did; the $ 10 ′ s of billions of dollars saved in light of a $ 1.3 trillion defecit; the disconnect between buyers and sellers article in the Chicago Tribune; the HomeGain first quarter 2011 home values survey; the value of a quality Realtor in buying and selling a home; the HomeGain FSBO vs. REALTOR survey

Fortunately, there have also been some opportunities: historically low interest rates, continued availability of FHA - backed loans, and tax policies that encourage real estate investment.

The Federal Reserve's policy of keeping interest rates low to spur growth has had the secondary result of lowering yields on bonds and other securities, encouraging investors to look elsewhere for higher returns.