Low Yields On Savings Here for the Long Term
He gets into a topic that should be on all peoples mind. The fact that there is too much debt. This fact will have some long term consequences for all savers. It is good for people who need to and can barrow. But it will be a problem for people with savings, especially people who are older and trying to live off of savings.
I am worried we (the USA) will have some long term problems, similar to Japan starting in the 1980’s where Japans economy went into a deflation period. Where interest rates (i rates) were pushed down to about zero and stayed there for many years.
I do not write about economics per say. But when dealing with insurance, you cannot avoid the subject. I do not consider myself an expert on the subject but have spent a lot of time in school and in my work life on economic topics.
We all need to spend some time looking forward in time to help us plan.
This column distills down this large topic and we all need to think and try to plan for our family’s and loved ones.
There has always been a need to plan for your future, I think it is truly harder in this interest rate environment. Intrest rates are low and will probably stay low for awhile. However inflation is not gone. The specter of inflation “steals” from savers.
Inflation from Wikipedia