financial repression
(en)
(from the FT so, grain of salt) measures by governments to boost their coffers and/or reduce debt, including holding down interest rates to below inflation (representing a tax on savers and a transfer of benefits from lenders to borrowers), imposing capital controls, etc. China gets accused of this a lot
Financial repression is basically a tax on captive bondholders and it works best when you have banks over a proverbial barrel
notable
6 years, 4 months ago