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I think you missed the section in Algebra where they teach the time value of money. Nobody is going to give up money today for the same amount at a future date.
by twcooper 11y ago
I think you missed the section in Algebra where they teach the time value of money. Nobody is going to give up money today for the same amount at a future date.
- titzer 11y agoDepends on if it is possible to lose that money in the mean time. If there are lots of robbers in your neighborhood, it might make sense not to have a lot of cash under your mattress.
- twcooper 11y agoOkay, but that's not what he said: >An investment with risk so low to survive two millennia can safely yield 0%. If risk-free assets garnered 0% interest rates, then the U.S. Treasury would not have to pay a real rate of return on its debt.