Your inflation point is something I had not considered.
The cost of negative interest is likely less regressive than than the existing system of inflation.
It will be interesting to see how this untested financial environment will settle to equilibrium, and what our world will look like as a consequence (like you mention, more VAT? Or fewer taxes as borrowing grows cheaper?).
The cost of negative interest is likely less regressive than than the existing system of inflation.
It will be interesting to see how this untested financial environment will settle to equilibrium, and what our world will look like as a consequence (like you mention, more VAT? Or fewer taxes as borrowing grows cheaper?).