Tuesday, May 22, 2012
Do It, You Lovely Useful Idiots!!!
The International Monetary Fund (IMF) has said the UK's continuing economic weakness means authorities should consider more Quantitative Easing (QE) and even cutting interest rates. Its annual look at the UK economy endorsed the government's deficit cutting plan, saying it was essential. It said monetary stimulus had helped the economy, but it remained flat. The IMF said the Bank of England should "reassess the efficacy" of cutting rates below 0.5%. The report said that monetary stimulus could be provided via further QE and possibly cutting the policy rate. It said the Bank of England's Monetary Policy Committee (MPC), which sets interest rates and authorises other monetary boosts, such as QE, should look at loosening the purse-strings.