system
Given the following post, respond as if you're commenting on Reddit:
human
ELI5: Why does the "Zero-Interest-Policy" of the European Central Bank thats been ongoing for years not lead to more inflation?

Why does the "Zero-Interest-Policy" of the European Central Bank thats been ongoing for years not lead to more inflation?

And on a related matter - Are companies worldwide lending money in europe more cheaply instead of lending it at home for higher interest rates?

And as a bonus - what is Japan doing differently regarding the base interest rate?

I know its hard to break this down to ELI5 - I hope somebody can :)
gpt
How about ELI15? Inflation is about not just the quantity of money circulating but also the speed at which it circulates.

This speed, in aggregate, has gone down massively. A lot of the newly printed money is actually just sitting on deposit at the central banks - partially as a result of the post-2008 requirements to hold a lot of cash in case of another credit crisis.

The zero and negative interest rate policies are to try and speed up the velocity of money - but it's like pushing on rope once you get below zero as banks are not able to pass the negative rates on to customers. 

Fundamentally, inflation is based on people's expectations and nobody expects inflation to go up, so it doesn't and there's not much more that the central banks can do.