Tuesday, Oct 27, 2009
They creatyed these Zombie banks, what do they expect?!?
Telegraph: UK financial system 'not able to support recovery'
Britain's financial sector is not equipped to support recovery when it comes and could trigger a double-dip recession if not fixed, the newest recruit to the Bank of England's Monetary Policy Committee (MPC) warned yesterday.
Posted by tyrellcorporation @ 08:13 AM (460 views) Add Comment
3 Comments
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1. inbreda said...
can't even be bothered trying to work out what kind of duplicitous cr4p this member of the BoE is trying to spout. I give them as much credence as the EAs and other VIs. Totally untrustworthy
2. chrisa said...
'Mr Posen insisted that the Bank's £175bn quantitative easing programme would not lead to "unacceptably high inflation at any time horizon." He added the MPC would keep the UK "well out of deflation" over the medium term.'
So here he is ADMITTING QE WILL CAUSE INFLATION. But what is his definition of unacceptable? 10 %? 20%? 50% p/a? Doesn't say. Slimy git.
3. chrisa said...
'He added the MPC would keep the UK "well out of deflation" over the medium term.'
Another translation for this should be: We, at the MPC, having deliberately created the housing bubble through our years of easy credit will not allow the bubble to deflate naturally. Please understand that when we say 'Deflation' we are only talking about asset price deflation, forget about food etc. We at the MPC are therefore going to print sufficient quantities of new notes and thereby devalue Sterling to more than compensate for any falls in house prices that would have naturally taken place. In this way we will not just prop up but reinflate the overpriced UK housing stock and buy government debt too as well as condemning the younger generation to a lifetime of living with their parents. Should we find ourselves able to get away with it we will also print sufficient money which we will then exchange with the banks for their overvalued mortgage based securities, also known as toxic debt.