{"id":7546,"date":"2013-04-24T18:47:13","date_gmt":"2013-04-24T22:47:13","guid":{"rendered":"http:\/\/goldstocksforex.com\/?p=7546"},"modified":"2013-04-24T18:47:13","modified_gmt":"2013-04-24T22:47:13","slug":"themoneyillusion","status":"publish","type":"post","link":"https:\/\/thepatientinvestor.com\/index.php\/2013\/04\/24\/themoneyillusion\/","title":{"rendered":"TheMoneyIllusion"},"content":{"rendered":"<p>TheMoneyIllusion highlights this common mistake by central banks:<\/p>\n<blockquote><p>Despite the fact that our mainstream textbooks tell us that low rates don\u2019t mean easy money, most central bankers cannot shake the suspicion that low rates do mean easy money, and that the current relatively low rates are a danger to the economy.  This irrational bias is driving policy failure in much of the world.  Even central banks at the zero bound (like the Fed) are inhibited in their push for unconventional stimulus by this cognitive illusion.<\/p><\/blockquote>\n<p>Read more at <a href='http:\/\/www.themoneyillusion.com\/'>TheMoneyIllusion<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>TheMoneyIllusion highlights this common mistake by central banks: Despite the fact that our mainstream textbooks tell us that low rates don\u2019t mean easy money, most central bankers cannot shake the suspicion that low rates do mean easy money, and that the current relatively low rates are a danger to the economy. This irrational bias is &hellip; <\/p>\n<p class=\"link-more\"><a href=\"https:\/\/thepatientinvestor.com\/index.php\/2013\/04\/24\/themoneyillusion\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;TheMoneyIllusion&#8221;<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[31,33],"tags":[2962,3311],"class_list":["post-7546","post","type-post","status-publish","format-standard","hentry","category-the-fed-banks-interest-rates","category-uk-europe-countries-regions","tag-riksbank","tag-sweden"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.2 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>TheMoneyIllusion - the patient investor<\/title>\n<meta name=\"robots\" content=\"noindex, follow\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"TheMoneyIllusion - the patient investor\" \/>\n<meta property=\"og:description\" content=\"TheMoneyIllusion highlights this common mistake by central banks: Despite the fact that our mainstream textbooks tell us that low rates don\u2019t mean easy money, most central bankers cannot shake the suspicion that low rates do mean easy money, and that the current relatively low rates are a danger to the economy. 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It\u2019s important to recognize that the\u2026","rel":"","context":"In &quot;Banks &amp; Interest Rates&quot;","block_context":{"text":"Banks &amp; Interest Rates","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/economy\/the-fed-banks-interest-rates\/"},"img":{"alt_text":"Mohammed El-Erian","src":"https:\/\/i0.wp.com\/www.incrediblecharts.com\/images\/2021\/melerian.jpeg?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":8586,"url":"https:\/\/thepatientinvestor.com\/index.php\/2013\/10\/09\/a-lesson-from-sweden\/","url_meta":{"origin":7546,"position":3},"title":"A lesson from Sweden","author":"ColinTwiggs","date":"October 9, 2013","format":false,"excerpt":"Sweden is one of the leaders in a recent OECD survey of literacy and numeracy levels. Anders Aslund describes how the education system recovered from the ravages of the 1960s and 70s: The Swedish school system, Palme\u2019s [hardline socialist Olof Palme] original bailiwick, was badly ravaged by left-wing reforms of\u2026","rel":"","context":"In &quot;Interests&quot;","block_context":{"text":"Interests","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/interests\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":6215,"url":"https:\/\/thepatientinvestor.com\/index.php\/2012\/11\/18\/the-liquidity-trap\/","url_meta":{"origin":7546,"position":4},"title":"The Liquidity Trap","author":"Colin Twiggs","date":"November 18, 2012","format":false,"excerpt":"In his 2003 paper Escaping from a Liquidity Trap and Deflation: The Foolproof Way and Others Lars E.O. Svensson describes the liquidity trap experienced by countries such as Japan and lately the US, when central bank interest rates are close to zero percent. If the nominal interest rate is initially\u2026","rel":"","context":"In &quot;Banks &amp; Interest Rates&quot;","block_context":{"text":"Banks &amp; Interest Rates","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/economy\/the-fed-banks-interest-rates\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":15617,"url":"https:\/\/thepatientinvestor.com\/index.php\/2017\/07\/21\/weekly-top-themes-from-bob-doll-nuveen\/","url_meta":{"origin":7546,"position":5},"title":"Weekly Top Themes from Bob Doll | Nuveen","author":"ColinTwiggs","date":"July 21, 2017","format":false,"excerpt":"U.S. monetary policy should remain equity-market friendly. In her comments last week, Janet Yellen stated that the neutral rate for the fed funds rate is \u201ccurrently quite low,\u201d and rates would not have to rise much more to become neutral. 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