Thus real interest rates have clearly been negative up to long-term ones. In a nutshell, with QQE producing its intended effects, a virtuous cycle from income to spending has been operating steadily as a high level of confidence is maintained in both the household and corporate sectors.
The slowdown in the growth of world trade is one of the main channels through which the economic problems of advanced economies are transmitted to developing economies. The short term prognosis for the global economy is not propitious.