Buddy Tom the ditch digger generally calls a spade a fucking shovel which is much easier to understand and so you sound real flowery n all but I can't figure out if you think its s good idea to save your money or no?
How about I put it this way.
You and your buddies dig holes with a shovel and earn a little money. You decide to start an excavator business to make more money. Your ask your buddies for some money to help and offer them the going rate of 0.15% interest on their cash.
They think it is fucking pointless because by the time you pay them back, inflation will make it worth less than it was when they gave it to you.
They hear that the bank is offering money for almost free if you buy a house, instead of depositing money into the bank for no reward, they borrow money to buy real estate. Prices start rising and they look really smart. Then 1000's of other people jump on board and prices go up more, and your friends look like geniuses.
Meanwhile you take your plan to the bank, and they don't really have any money to lend because their customers don't save anything there, and they all borrowed shit loads already to buy real estate. But Mr Banker no care. He just writes up loans anyway even though he doesn't have much cash on hand. Mr Banker knows this is not a problem because the government has his back when shit goes tits up.
But you start to see your friends make lots of money on real estate and think why the fuck should I buy an excavator when I can just borrow a shit load of money and buy real estate and make way more?
So you do, and so does everyone else. And the bankers keep lending more and more money with less and less (saved) money in reserve.
Can you see how this is a real big problem?
What about your buddy who is retired and used to make 4% on his life savings to buy food and clothes? Now that he only gets 0.15% on his savings he will starve unless he does something else. You tell him 'Buy real estate!' So he pulls his savings out of the bank and buys real estate. But since the bank is giving away loans for almost free, he borrows even more from the bank and buys 10 houses. So the bank has even less cash reserves thanks to buddy taking his savings out, and more outstanding loans thanks to the extra they gave him.
The pretty much sums up the problem. Near zero rates means people who may either save, or invest in a business decide to invest in a bubble instead. One that is going to pop and destroy much of what most people have, because… wait for it… they have no fucking savings and it's all wrapped up in bubble real estate (and substitute bubble stocks for bubble real estate anywhere you like because they are both a shit show right now). But in the meantime they are looking like financial wizards. Wrong.
And just for the record, I fit very neatly into all that is wrong with this scenario right now. But hopefully there is still time to sort it out before everyone runs for the exits.