Friday, March 7, 2014
Monetary policy after the collapse of Osbrown
Article contains an interesting link to a paper with a history of UK monetary policy as practised by various administrations. So Douglas Carlswell the author that the recent policies of Osbourne and Brown are the same, and that they will shortly be clearly demonstrated to be total failures with a discussion of what may be next. Made me think that possibly Carney/Osbourne are already moving away the lever of interest rates and to (surprisingly) take Carney at his word he may indeed intent to use other measures to the blunt trauma of lifting borrowing costs. In which case state involvement with finance will inevitably increase further than the existing Funding for Lending/Help to Buy. Unfortunately this means that interest rates won't allow price discovery or resource allocatino.