Nov 30, 2010
Negative interest rates
Normally we think of interest rates being a positive number. That is, if we borrow some money, we have to pay some interest rate on the loan -- meaning we’ll pay back more than we borrowed. Or if we invest, we expect to earn money -- that is, interest on my funds. But a new investment recently offered a negative interest rate. N.C. Cooperative Extension economist Mike Walden explains.