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That said, the Danes have been doing negative interest rates longer than anyone and to date it would seem that negative interest rates harm savers and pensioners the most, no surprises there.  The public views negative interest rates as a sign of economic crisis, again no surprise but it brings with it reduced business spending and increased savings.  The central banks goal is of course theopposite, encourage lending and consumption whilst driving inflation.  Yet economic growth and price pressurescontinue to drift lower and or stagnate while savings rates increase.  Patterns seen in other developed economiesthat have tried negative interest rates ala Japan.  So from a policy perspective it would appearthat negative interest rates fail to meet the desired objective.

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