Friday, December 28, 2012
Money Printing For Beginners
This came through from Paul Tustain. He is very sober in his analysis. Stick with it - it's tricky at first - through to the end. It's worth it. It begins with this disturbing stat : For every one of all 25 million working people in Britain the government is printing Â£16 of brand new money â€“ every day. Via the public sector the government is showering the economy with this new cash and shunting the resulting debt into the sovereign bond market, where somehow these highly questionable assets still find buyers. How come the bond market has not yet got indigestion? That is a complicated question, and one which this Christmas I have sought to address in my annual seasonal review.