“Though bad for people trying to live off their savings, low interest rates happen to be quite good for anyone borrowing money, like governments themselves.  Along with keeping rates low, governments are using a variety of tactics to encourage captive audiences, like pension funds and banks, to buy their debt. Consumers, in other words, are subtly subsidizing governments without even knowing it. Economists have compared this phenomenon to a hidden tax on people’s wealth.”

http://www.nytimes.com/2012/09/11/business/as-low-rates-depress-savers-governments-reap-the-benefits.html?_r=1&pagewanted=2&src=recg&utm_source=The+Freeman&utm_campaign=4cf43fe495-In_brief_1_8_2010&utm_medium=email&pagewanted=all

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