Could somebody please explain this zero interest rate thing to

Encourages spending/borrowing but discourages saving.

And people wonder why Americans are so damn broke. Our fiscal policy encourages living beyond your means. Why keep money in the bank when you only earn a whopping 0.25% interest on it.

I'm not even that old and remember my parents teaching me about saving as a kid and earning like 8% interest or something like that on a savings account.

>>130471506
When a countries finances goes to shit, you lower the interest rate to try to kickstart things.

Only problem with getting to zero interest rate is that when things go to shit you have no more tools in your toolbox to pretend things are still ok.