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Sure, interest rates are negative, but so are some prices, and when you look around, they're everywhere

  • Written by: Peter Martin, Visiting Fellow, Crawford School of Public Policy, Australian National University
Sure, interest rates are negative, but so are some prices, and when you look around, they're everywherePushkin/Shutterstock

On December 10, it finally happened. Instead of demanding an interest payment from the government in return for lending it money, a group of investors offered to pay the government in order to lend it money.

Naturally enough, the offer was accepted.

The government needed A$1.5 billion which it promised to repay on March 26.

It...

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