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What on earth have the BOE done in the last 10 years? What are they for? They seem to be the most imcompetent useless group of f*ckwits I have ever seen in action.

I think the problem for the BoE is that their remit is to keep CPI inflation within the 2% limit. However, we all know the CPI is a rubbish measure of inflation that treats things like LCD TVs as though they were almost as commonly purchased as a loaf of bread or a pint of milk.

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I think the problem for the BoE is that their remit is to keep CPI inflation within the 2% limit. However, we all know the CPI is a rubbish measure of inflation that treats things like LCD TVs as though they were almost as commonly purchased as a loaf of bread or a pint of milk.

then WHY didnt anyone at the BoE point that out at the time.

meh !!!

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I think the problem for the BoE is that their remit is to keep CPI inflation within the 2% limit. However, we all know the CPI is a rubbish measure of inflation that treats things like LCD TVs as though they were almost as commonly purchased as a loaf of bread or a pint of milk.

Of course when they were first made independent their remit was based on RPI but then Gordon 'reformed' the system. ;)

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then WHY didnt anyone at the BoE point that out at the time.

meh !!!

They are a bunch of yes men yet pay themselves like successful ( very very) entreprenuers.

Like most at the top of the Tax payers employees trough.

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What on earth have the BOE done in the last 10 years? What are they for? They seem to be the most imcompetent useless group of f*ckwits I have ever seen in action.

I believe they've done the best they can, given the targets and inflation basket that the goverment sets.

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They are a bunch of yes men yet pay themselves like successful ( very very) entreprenuers.

Like most at the top of the Tax payers employees trough.

be interesting to see what proportion of employees were BTL believers with portfolios.

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be interesting to see what proportion of employees were BTL believers with portfolios.

Exactly. Why did they ignore house prices when they were on the rise, and yet cut rates when they show signs of falling?

Why cut rates in summer 2005?

If there remit / target is PURELY inflation based, why are we looking at cutting rates now? Inflation is showing signs of racing away upwards.

They are a disgrace and a shambles.

Edited by Notlongnow

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to be fair merv was out voted when 'that' IR cut was were pushed through in 05, merv didnt want the cut....

http://www.bankofengland.co.uk/monetarypolicy/mpcvoting.xls

The following voted for the 05 cut

Charles Bean

Kate Barker

Stephen Nickell

Richard Lambert

David Walton

Fair point. But they still collectively voted for a cut. I wonder how history will view this decision, based on how bad things potentially will turn out...

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Fair point. But they still collectively voted for a cut. I wonder how history will view this decision, based on how bad things potentially will turn out...

I would like to know which of these MPC members were appointed by Blair/Brown rather than merv....

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I would like to know which of these MPC members were appointed by Blair/Brown rather than merv....

"that is the correct question" Officer. Program terminated.

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They are a bunch of yes men yet pay themselves like successful ( very very) entreprenuers.

Like most at the top of the Tax payers employees trough.

Merv gets £275k a year - I reckon this is not excessive

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No new there, sine last august i knew they were stuck, and so was the fed, no room to move and what did the ECB do that allowed them flexability. :rolleyes:

Edited by crash2006

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I think the problem for the BoE is that their remit is to keep CPI inflation within the 2% limit. However, we all know the CPI is a rubbish measure of inflation that treats things like LCD TVs as though they were almost as commonly purchased as a loaf of bread or a pint of milk.

The BoE don't give a damn about CPI inflation as they're currently showing Mervyn King has already

said he expects CPI to rise above 4% and yet he's quite happy to have cut interest rates from 5.75%

to 5% and currently has no intention of raising them even though CPI's a 100% above target.

The BoE are only interested in secondary inflation as in the nineties when we had soaring inflation we

also had soaring wage inflation which lead to higher interest rates. But this time we have soaring

inflation but the Labour party has chosen to deal with wage inflation by flooding th country with a few

million cheap migrant workers which is suppressing wage inflation for UK workers. The ironic thing is

the ones it is most affecting are the poorer in society. They're having to deal with soaring inflation

and no wage inflation due to the millions of migrants and the scrapping of the 10p tax. Labour are

screwing the poor on all fronts.

The next time you hear Labour say that under the Tories we had interest rates above 10%, the reason

being was we had no migrants suppressing pay rises as Labour has chosen this time. Labour chose

to give us soaring inflation, no pay rises due to the migrants and low interest rates so we could keep

piling on the debt. The Labour party are just short of gangsters.

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The whole idea of the BoE taking charge of interest rates instead of the Govt

was to prevent "boom and bust".

Short term, it appeared to have that effect.

Long term.... it has had a worse effect.

A huge boom followed by .......

the bust of all busts, perhaps ?

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Merv gets £275k a year - I reckon this is not excessive

£275k for spending 10% of his time sitting around a table deciding whether or not to cut .25%, raise .25% or do nothing? The rest of the time either reading or writing/giving speeches? Sounds like a piece of p*ss to me.

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The whole idea of the BoE taking charge of interest rates instead of the Govt

was to prevent "boom and bust".

Short term, it appeared to have that effect.

Long term.... it has had a worse effect.

A huge boom followed by .......

the bust of all busts, perhaps ?

Brown and the Labour party knew exactly what they were at giving independence to the BoE. Brown also knew

he could keep banging the no more boom and bust drum as he knew busts are caused by higher interest rates.

Brown was well aware at the time that flooding the country with cheap migrants was a pretty sure fire way of

ending the busts as the cheap migrants would suppress wage inflation keeping interest rates low.

The banks blew his plan by lending money to all and sundry making them virtually insolvent. Them bloody

banks, they just don't care, messed Gordon's plans right up.

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I must admit, unpopular as it might be here, I have been convinced by the argument that as we now seem to be in recession territory it is better to cut interest rates. Wage demands will be kept low as people will be more and more worried about job security.

House prices are going to fall no matter what, but lower interest rates might help give a little bit of stimulus.

We need to be exporting more and importing less. Wouldn't a weaker pound help this?

Some here have also been talking about a short period of inflation followed by deflation. So why not cut now?

There are some much more knowledgeable people here, so please feel free to dissuade me.

I await re-education :)

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  • 395 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% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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