ONE of the most remarkable features of the modern economy is that interest rates are negative in real (ie, after inflation) terms and are expected to remain so. This is not unprecedented. Real rates were negative after the second world war and again in the 1970s. But in both cases inflation was much higher than it is today.

Headline inflation rates

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IT IS a year of anniversaries for the world's financial institutions. Never mind that they almost failed to make it: Citigroup's 200th birthday is being widely trumpeted; UBS is marking its 150th year. The 50th anniversary of Jefferies Group, an American investment bank, hardly has the same resonance, but in its own way it has most to celebrate.

Qui

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Nationwide says the 1.5% year-on-year fall in June is the biggest since August 2009, but the picture is mixed across the country

House prices in June showed the largest annual rate of decline in nearly three years amid a "challenging" economy, the Nationwide said today.

Prices slipped 1.5% year-on-year to £165,738 on average – the biggest fall since...

EVEN in a world of algorithmic trading and automated credit scoring, good financial decisions still depend on judgment. Choosing whom to invest alongside is particularly important in the uncertain world of venture capital, where many deals are syndicated, in order to share risk and information. Paul Gompers and Yuhai Xuan of Harvard Business

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CANADA'S reputation for financial regulation is starry. Its banks got through the crisis unscathed. According to Moody's, a ratings agency, Royal Bank of Canada sits alongside HSBC and JPMorgan Chase in the top tier of global banks. And Canadian policymakers are old hands at pulling “macroprudential” levers of the sort now in vogue among ric

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PRECIOUS little is expected of European summits these days, but the one scheduled for June 28th-29th (after The Economist had gone to press) needs to show some progress in solving euro-zone woes. A breakthrough looks likeliest in banking, where senior European officials have begun talking up a union that centralises bank supervision and that also

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“WEALTH is not without its advantages,” John Kenneth Galbraith once wrote, “and the case to the contrary, although it has often been made, has never proved widely persuasive.” Despite the obvious advantages of wealth, nations do a poor job of keeping count of their own. They may boast about their abundant natural resources, their skilled workforce

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Q&A: Have mortgage holders been overcharged, who are the biggest losers and what happens to the £290m in fines?

Does this affect me?

If you have a buy to let mortgage or a sub-prime loan, then it directly affects you. Ray Boulger of mortgage brokers John Charcol estimates there are between 200,000 and 250,000 mortgages where the interest rate paid...

The availability of mortgages with low rates is reducing in France, with many lenders increasing the cost of borrowing in the last month.

Head of operations at overseas mortgage specialist Connect Overseas Geoff Simmonds explained the cost of variable rate finance in the country has risen from 2.09 per cent to 2.79 per cent over the past four...

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