If banknotes are staying longer in the hands of the public, it seems likely, too, that central banks will require the notes to have security features that are more overt. That is, security that can be easily seen by looking at the note or by easily scanning a banknote with a smart phone.
And, for example, Mian, Rao, and Sufi (2013) conclude that the decline in house prices during the recession had a substantial effect on consumption; by the same argument, if low rates supported house prices, then they would have supported consumer spending as well. 3 See D’Amico, Kim, and Wei (forthcoming). -3attractive investment and reduced the term premium.