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Realistbear

King Takes A Swipe At Gordon

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http://www.tiscali.co.uk/news/newswire.php...y_template.html

King criticises MPC appointment process

29/06/2006 09:55

LONDON (Reuters) - Bank of England Governor Mervyn King criticised on Thursday the framework for appointing new Monetary Policy Committee members which has been slow to find a replacement for policymaker Richard Lambert.
The MPC has only seven members instead of the usual nine as the Treasury has yet to replace Lambert, who left in March, and David Walton died suddenly last week.
Critics have accused Chancellor Gordon Brown of undermining the credibility of the monetary policy decision-making process by not having a clear framework for making new appointments.
King appeared to share some of their concerns. "We are always keen to learn and improve and, to the extent that there are issues on which we could reflect further, they are likely to stem from areas where the institutional arrangements are not as clear, such as the appointment process for members of the Committee," he said.

Mervyn had better be careful or, at worst, he will be sleeping with the fishes or, at best, spending more time with his family. And some on HPC think the MPC is independent? :blink:

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Mervyn had better be careful or, at worst, he will be sleeping with the fishes or, at best, spending more time with his family. And some on HPC think the MPC is independent? :blink:

Would you want that job? Maybe he's just having difficulty filling the vacancies. It would be like being "Number 5" at Spector.

WANTED - MPC MEMBER £300K per annum, good bens (car, pension, health)

A special individual is needed to fill this amazing role - must have economics

pedigree and have worked in industry.

CAVEAT: Failure of any kind is intollerable and will be punishable by death

from exploding chair/shark.

Edited by The Colour

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http://www.tiscali.co.uk/news/newswire.php...y_template.html

...at worst, he will be sleeping with the fishes or, at best, spending more time with his family. And some on HPC think the MPC is independent? :blink:

Go to the mattresses King!

In 1530 the combined troops of Charles V and Medici Pope Clement VII lay siege to Florence. The bell tower of San Miniato al Monte was part of the defences. Michelangelo Buonarroti, as he was good at most things, was put in charge of defending the city. He used the ploy of hanging mattresses on the outside of the tower to minimize damage from cannon fire

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Go to the mattresses King!

In 1530 the combined troops of Charles V and Medici Pope Clement VII lay siege to Florence. The bell tower of San Miniato al Monte was part of the defences. Michelangelo Buonarroti, as he was good at most things, was put in charge of defending the city. He used the ploy of hanging mattresses on the outside of the tower to minimize damage from cannon fire

I remember from Godfather I when Clemenza was explaining to Mikey that going to the mattresses was bedding down on simple mattresses at various safe houses while the turf war was on? :)

Mervyn does dissappoint though--he is peddling the no-inflation cr*p on Gordon's behalf:

http://uk.biz.yahoo.com/29062006/214/mervy...nt-process.html

Mervyn King hits at MPC appointment process

LONDON (ShareCast) - Bank of England governor Mervyn King said today that there is in no hurry to move interest rates, while at the some time criticising the Chancellor Gordon Brown over the delays in finding replacements for the Monetary Policy Committee.
Responding, Gordon Brown said an announcement would be made soon, though he gave no indication whether that would be before July's MPC meeting.

Gordon's shut down of Mervyn says it all: remember your place, I and I alone am in charge of my bank.

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Telegraph pick the story up in today's edition. IMO, it symbolises some very deep seated problems in the economy with Mervyn awake to the fact that politicians are overuling sound judgment:

http://www.telegraph.co.uk/money/main.jhtm.../ixcitytop.html

King calls for MPC overhaul

By Edmund Conway, Economics Editor (Filed: 30/06/2006)

Bank of England governor Mervyn King has issued a rare rebuke to Gordon Brown, calling on the Chancellor to overhaul the way he makes appointments to the Monetary Policy Committee.
Mr King warned the Bank's interest rate-setting board has been left under-staffed for three months in a row and, after the death last week of external member David Walton, was two members short.
He said the way members are appointed at present was "very informal" with decisions made "at the last minute".
MPs and former members of the MPC have expressed concern that there is too little transparency in the way the Chancellor picks members, and the Treasury Select Committee is planning to launch an investigation this autumn.
...../
Responding to Mr King's comments, Mr Brown said: "[Mr Walton] was a very effective member. However, it would be inappropriate to draw general conclusions from what was the sudden death of a member of the Monetary Policy Committee."

What conclusions does he have in mind? :ph34r:

Bottom line seems to be that Mervyn is accusing Gordon of stacking the deck and chosing political lackeys instead of economists willing to tow the line and hike rates to combat real inflation.

Edited by Realistbear

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Sorry for being a bit of a conspiracy theorist. But isn't it surprising that the guy who voted for a quarter point rate rise in the minutes has suddenly died.

"37 The Governor invited the Committee to vote on the proposition that the official Bank rate should

be maintained at 4.5%. Seven members of the Committee (the Governor, Rachel Lomax, John Gieve,

Kate Barker, Charles Bean, David Blanchflower and Paul Tucker) voted in favour of the proposition.

David Walton voted against, preferring an increase of 25 basis points."

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  • 302 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
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      • Even
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      • up 5%



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