Why Say’s law is always true
byOne of my regular readers has raised the important subject of Say’s law, the denial of which both Keynesian and modern monetarists are emphatic….
QE is Simply Reactionary
byThe Bank of England has recently announced a new round of quantitative easing alongside an interest rates cut, pushing £100 billion into banks, with…
There is merely a distinction of reason between rules and discretion in central banks’ monetary policy
byAbstract: I briefly review some key articles within the monetary policy literature regarding the debate surrounding rule-based versus discretionary monetary policy and relate them…
The crack-up boom has already begun
by“Negative interest rates are not the fault of central banks” Martin Wolf column for the Financial Times of 12 April, 2016. From ‘Human…
Arizona Considers Issuing a Gold Bond
byThe Arizona House of Representatives has convened an Ad Hoc Committee on Gold Bonds. The purpose is to explore if and how the state…
Witness to the End of Soviet Power: Twenty-Five Years Ago
bySource: https://fee.org/articles/witness-to-the-end-of-soviet-power-twenty-five-years-ago/ Twenty-five years ago, on August 22, 1991, I stood amid a vast cheering crowd of tens of thousands of people outside the Russian…
Does UK need looser fiscal stance to cushion Brexit?
by“We are all Keynesians now, so let’s get fiscal” – this is one view according to Ambrose Evans-Pritchard[1] from The Telegraph who believes the…
Real vs. Nominal Interest Rates
byWhat is the real interest rate? It is the nominal rate minus the inflation rate. This is a problematic idea. Let’s drill deeper into…
Benn Steil: Portugal Gaining on Italy in the Banking ‘Doom Loop’
byItalian banks have taken a pounding of late from the ECB, the markets, and the media. They currently hold a whopping €360 billion in…
Central Bankers Are All ‘Corbynistas’ Now
byPublished in the Wall Street Journal yesterday from John Phelan, “Central Bankers Are All ‘Corbynistas’ Now”: Source: http://www.wsj.com/articles/central-bankers-are-all-corbynistas-now-1470858620 When Britain’s Labour Party leader Jeremy…