Ward: New Normal for Interest Rates Lower Than Thought

The video discusses global economic growth trends, highlighting that most countries are experiencing growth with no major recession concerns. It emphasizes the impact of low interest rates on markets and the need for corporate tax reform to boost investment and productivity. The discussion also covers policy uncertainty, particularly around elections and Brexit, affecting corporate confidence. Finally, it addresses the limitations of monetary policy in driving economic growth.

What is the 'new normal' in terms of economic growth and interest rates?

• Higher growth and higher interest rates

• Lower growth and lower interest rates

• Stable growth and fluctuating interest rates

• Unpredictable growth and stable interest rates

Why is corporate tax reform considered crucial for the US economy?

• To increase consumer spending

• To boost corporate investment and productivity

• To reduce government debt

• To stabilize the stock market

What is a major factor affecting corporate confidence according to the transcript?

• High inflation rates

• Policy uncertainty

• Increasing trade barriers

• Rising unemployment

How did Brexit initially impact corporate investment decisions?

• It caused companies to hold back on investments

• It led to increased investments

• It had no impact on investment decisions

• It resulted in a surge of foreign investments

What limitation is mentioned regarding monetary policy's effectiveness?

• It can only affect short-term interest rates

• It is limited by the laws of diminishing returns

• It can only control inflation

• It is ineffective during economic booms