Discuss: Effects of Subzero Interest Rates on Commercial Banks

he Bank of England is the central bank of England and conducts many of the same functions as the Federal Reserve in the USA. In the attached WSJ article the Bank of England has asked major British banks to prepare a response on what business units, or markets, would be affected by negative interest rates:
"Along with the letter to the banks, an accompanying questionnaire quizzes bank staff about issues such as which business units would be affected by negative rates and how much time they would need to make changes to their systems to accommodate them."
For your second topical analysis you must answer the Bank of England's question. You may do so in one of two ways. First, you may talk about the effects of a negative-interest environment in one or two specific markets. Alternatively, you can discuss the specific effects a negative-interest environment would have on a specific bank or other financial institution.
Bank of England.pdf预览文档
Students should write a (500) word analytical response to the questions which incorporates short quotes and facts from WSJ articles and applying concepts learned in class. Responses should show a clear plan of execution, be analytical, and cite several (at least 3) recent WSJ articles. You are free to use WSJ articles not assigned in class. This is an analytical exercise where there are no explicitly correct or incorrect answers but an opportunity to apply what you learn from the lecture material on current and real economic issues.
Each response should be double-spaced with a size 12 font style Arial, Courier, or Times Roman.Points are deducted for blatant spelling, grammatical, or formatting mistakes, but grading is based on the response’s analytical thought, structure and execution. Students are highly encouraged touse a free online writing tool (Grammarly, Slickwrite, etc.) before submission to avoid point deductions.