A FRED search for
monetary interest paid turns up 30 series. Look for "financial" in the results, and there are four hits. One of those is for
nonfinancial corporate business; I skipped that one. Of the remaining series, one is for financial corporate business, and the other two are the components of that: interest paid "on deposits", and interest paid "on other liabilities".
I took a quick look: Add the interest on "deposits" and "other" together, and they do add up to the number for financial corporate business.
Here's a look at the two parts of financial corporate interest expense, each shown as a percent of the total:
|
Graph #1: Financial Corporate Business Interest Paid
on Deposits (red) and on Other Liabilities (green) |
In the 1960s, 75 to 80 percent of that interest expense was on deposits. Now, 90 percent of it is
not on deposits.
This looks like a change that started in the '60s, by the way.
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