Monetary Policy

Is The Bank Of England's 'Super Thursday' Decision To Keep Interest Rates Unchanged Justified?

Vikram Kumar Khosla | Posted 04.08.2017 | UK
Vikram Kumar Khosla

However, higher interest rates would help to decrease inflation with consumers tending to save more and for demand to fall. An interest rate increase is essential, but the current rate of 0.25% is necessary for economic growth to occur due to Brexit uncertainties, so the Monetary Policy Committee's decision is justified- for now.

Want To Keep The Pound? Carney Has A Very Stark Message For Scotland

The Huffington Post UK | Asa Bennett | Posted 10.09.2014 | UK Politics

Mark Carney has suggested that an independent Scotland may need to raise at least £10 billion, requiring massive cuts or tax rises, if it wanted to k...

Politics of More Importance Than Economics for the Eurozone

Jeremy Cook | Posted 14.10.2014 | UK Politics
Jeremy Cook

Mario Draghi reminded everyone gathered in Frankfurt and listening in around the world that it is not the ECB's decision as to whether to go ahead with asset purchases. Firstly, Eurogroup leaders would have to vote on it.

Carney Urges Osborne To Put Women On BoE's Top Committee

The Huffington Post UK | Asa Bennett | Posted 07.03.2014 | UK Politics

George Osborne has been urged to consider appointing female economists to the Bank of England's entirely male monetary policy committee by bank govern...

Financial Split or Monetary Reinvention

Paulo Casaca | Posted 22.03.2014 | UK
Paulo Casaca

In Europe, the pace has been considerably slower still. According to the Financial Times (2014.01.05) analysing a leaked proposal of the European Commission with a "narrowly defined version of the US Volcker rule" the official calendar expects an agreement no sooner than December 2015, the dates of its real implementation being anyone's guess.

Our Monetary System Is a Great, If Wildly Misunderstood, Public Good

Ann Pettifor | Posted 15.03.2014 | UK
Ann Pettifor

Today we face grave new threats to our security, the most urgent and costly of which is the need to transform our economies away from fossil fuels and excessive consumption. That is why its time to talk about, and talk up, monetary reform - to ensure that the public good that is our money system once again serves the interests of wider society, not just those of private wealth.

Carney Defies Pressure And Stays The Course

The Huffington Post UK | Asa Bennett | Posted 25.01.2014 | UK

The Bank of England has kept interest rates at their historic low of 0.5%, making it nearly five years since they last changed the base rate. The l...

Has Quantitative Easing Become an Embarrassment?

Nick Beecroft | Posted 17.09.2013 | UK
Nick Beecroft

With pressure from a skeptical Senate to wind down QE, and next January's FOMC voter rotation bringing in many new hawks, it seems likely the data would have to become truly appalling before we saw an increase in QE.

Carney Leaves Rates on Hold, But the Catch 22 of Easy Money Persists

Justin Cash | Posted 03.09.2013 | UK
Justin Cash

While Carney's first decision is a safe, steady one, holding both interest rates and asset purchases does suggest that we still can't quite seem to make up our minds as to whether the virtues of credit easing outweigh these vices it leaves us in.

Improving Labour Market Gives UK Recovery Real Momentum

Jeremy Cook | Posted 12.08.2013 | UK
Jeremy Cook

Today's unemployment numbers are not strong enough to definitely say the recovery is well on its way, but the figures are encouraging.

Salmond's Scotland: Independence Without Independence

Richard L Wood | Posted 12.08.2013 | UK Politics
Richard L Wood

It is clear that the SNP's version of independence is not full independence and that could be detrimental to Scotland. The report supported by the Scottish government to retain the same welfare set-up with the UK has been the latest report to exemplify this point.

Draghi -Master of the Universe or Just Human Like the Rest of Us?

Nick Beecroft | Posted 04.06.2013 | UK
Nick Beecroft

In last week's blog I confidently asserted that today we would be treated to another masterful performance from M.Draghi at the ECB's post-meeting new...

Doomsday Stagflation?

Andy Langenkamp | Posted 09.04.2013 | UK Politics
Andy Langenkamp

Doom-mongers believe politicians will choose the easy way out and put pressure on central banks to crank up the printing presses. They often point to the weakness of the international monetary system, because it is based on fiat (soft) money, which is not backed by the value from tangible materials like gold. The pessimists think a monetary system based on fiat money will rarely, if ever, exist for long because hyperinflation is inevitable.

The Cycle of Market Slump and Rally is Making me Feel Like I'm Featuring in Groundhog Day

Brian John Spencer | Posted 16.11.2012 | UK Politics
Brian John Spencer

The rhythmic rise and fall of market sentiment has become depressingly familiar; so much so that I feel like I'm stuck in some sort of time loop, with the same string of events repeating itself over and over again.

What Economic Lessons Can the 1930s Teach Us?

Marcus Liddell | Posted 20.09.2012 | UK Politics
Marcus Liddell

The Great Depression of the 1930s is remembered as one of the worst economic periods in modern history. But statistics show that our current slump is in someways worse.

Bank Of England Unlikely To Push For Further Quantitative Easing

PA | Posted 06.01.2012 | UK

The increasingly likely prospect of the economy going into reverse in the final quarter is not expected to push Bank of England policymakers into roll...

Clegg: No Triumphalist Euro Schadenfreude

Press Association | Posted 06.09.2011 | UK

PRESS ASSOCIATION -- The UK must resist "finger-wagging" or acting "triumphalist" over the eurozone crisis, Nick Clegg is due to say. The Deputy Pr...