mebazaa
Joined 9 years ago
Joined 9 years ago
> Air Canada, the largest airline by seats between the U.S. and Canada, disagrees with the analysis. > "We can confirm that [the preliminary OAG data] is not reflective of Air Canada's booking patterns, nor the state of the market, based on all information sources available to us," an Air Canada spokesperson said.
> On one side were economists who believed that the essential role of monetary policy — maybe even its moral duty — was to deliver stable prices. Money, after all, is a yardstick we use to measure economic activity, and they argued that this yardstick shouldn’t be constantly changing its length.
> On the other side were economists who worried that too low an inflation rate could inhibit our ability to fight recessions. The Federal Reserve and its counterparts in other countries try to manage the economy mainly through their control of short-term interest rates; but these rates can’t go much below zero, because negative rates would just lead people to accumulate stacks of $100 bills. A higher rate of inflation tends, other things being equal, to raise interest rates and makes it less likely that the Fed, faced with a recession, will hit the “zero lower bound” and be unable to cut rates further.
The zero lower bound turned out to be a real problem, given the amount of years we spent at a zero percent interest rate.
I used it a few months ago, and from what I can gather online, it’s been around for at least four months.
But interesting though!