"bert" ] wrote in message
...
In message , Rod Speed
writes


"bert" ] wrote in message
...
In message , Mark
writes
On Thu, 21 Feb 2013 09:40:47 +0000, Broadback
wrote:

On 20/02/2013 23:48, Dave Plowman (News) wrote:
In article ,
bert ] wrote:
Just to come vaguely back onto group topic, pensioners have to hire
people to do more jobs for them which younger people can DIY

That may be the case at some point, but you don't automatically
become
decrepit the second you get an OAP.

As an OAP I find it odd that as, on average, high savings accounts,we
are penalised by inflation eating the value away

Inflation affects everyone. Many working people have had little or no
pay rises (and some have had pay cuts) over the last few years.

while interest rates
are kept low so that the provenders can have it relatively easy. Who is
subsidising whom?

The poor subsidise the rich. Borrowers always pay higher interest
rates than savers get.

Anyway low interest rates are essential in preventing the financial
crisis being much worse.

But the law of diminishing returns applies.

Sure, and once you get to zero, you have a problem.

Businesses always moan about interest rates

And the economy clearly isnt doing as well as it has done.

That depends on hope you measure it.

Nope, that's the result you get with any sensible measure.

GDP does not take into account debt so as Labour did (and will do again if
given the chance) you can make it appear that the economy is doing well by
borrowing more and artificially inflating GDP

It wasn't the debt that inflated the GDP.

Govt spending is only a quite small part of total
GDP, whatever govts would have you believe.

And with non govt debt, the borrowings by business
that is useful for the economy obviously cost much
less when the interest they have to pay on that debt
is much lower.

just as farmers always complain about the weather.

The one financial institution which isn't restricting its lending hand
has been unaffected by any crisis has very high interest rates - the
credit card companies.

They are restricting their lending in some jurisdictions.

In this instance we are talking about the UK and I personally have seen no
evidence of any tightening of restrictions on lending.

Then you need to get out more, most obviously with those who
are now out a job and who now find it much harder to get a new
credit card with a decent credit limit on it.