The outcome, eventually, was a rule by which a company can keep a special-purpose vehicle off its balance sheet as long as an independent third party owns a controlling equity interest equivalent to at least 3% of the fair value of its assets.
In such circumstances, a small rise in interest rates is equivalent not to stamping on the brakes, but to easing up slightly on the accelerator.
Fortunately the U.S. does not yet suffer Japan's structural deadweights, but the Fed could still make the mistake of thinking that easing interest rates is the equivalent of monetary ease.
He would simply use projected budget surpluses to keep the system going until 2050, by paying down national debt and allocating the equivalent of the interest saved to the Social Security system.
In essence, the European banks are charging the Soviets the equivalent of an interest rate exceeding 20 percent on the very small portion of the loan that is not guaranteed by the United States.
Despite the varying prohibitions, some Shariah banks find creative ways to make the equivalent of market interest rates by other means, such as by pegging debtor repayment rates to his or her future profits, or when a bank offers a "hibah, " or gift to those who open an account in essence a way of attracting new customers in lieu of interest accruals on savings.
With interest rates near zero, no equivalent action is available to the Fed today.
ECONOMIST: Bucking up this recovery is harder than it was in the past
If so, the fall in the euro over the past year is equivalent to a cut in interest rates of almost two percentage points.
That is dangerously close to an unaffordable interest rate for a public sector that has debt equivalent to 120% of GDP, well above what economists see as healthy, and which will have to borrow 300bn euros next year alone.
In effect, Mr Paulson engineered the equivalent of a half-point cut in interest rates targeted at the mortgage market.
It seems certain that the Federal Reserve will continue to accompany fiscal stimulus with the monetary equivalent in the form of near-zero interest rates and further quantitative easing.
It involves comparing the interest and premiums you have actually paid on your endowment mortgage with the interest and capital repayments you would have paid on an equivalent repayment mortgage.
During the recent credit expansion, homeowners seeking mortgages to flip homes, as well as Fannie and Freddie with their affordable housing mandate and ensuing interest in securitized sub-prime mortgages, seem to have been the equivalent of the less-sophisticated, day-trading retail investor feeding the dot-com bubble.
Before April's election Deputy Le Lievre served on the Social Security Department and said he wanted to restore the previous regime of increasing pensions by RPIX - a measure of inflation equivalent to the all-items Retail Price Index, but excluding mortgage interest payments - plus 1% each year.
BBC: Guernsey deputy wants further pensions and benefits rise
应用推荐