On: The long, slow, rotten march of progress

[tbrownaw]

> Poor people are massively more likely to benefit from low interest rates than to be hurt by it.

There seems to be a correlation between low growth and low interest rates.

It's interesting to speculate that the direction of causation might be low interest rates -> inefficient use of capital -> low growth. In which case low interest rates would hurt everyone.

[TheCowboy → tbrownaw]

I share his pet peev. Economics has studied this extensively and the evidence suggests otherwise. And it is more complicated than you suggest.

What is your model?

During the 90s low interest rates were not associated with low growth. Your model doesn't explain that.

You haven't established a causation here at all. How does it work? Why? What? It also completely ignores nominal vs. real interest rates.