Interest rates aren’t as influential as you think
Criticising the Bank of England has become fashionable in City circles. From persisting too long with quantitative easing, to completely missing the upsurge in inflation to the condescending group think displayed on the validity of its discredited New Keynesian models, the Bank under Andrew Bailey has done plenty to make itself fair game. But when […]
Without a recession, Bailey won’t wrest back control over inflation
Andrew Bailey, Governor of the Bank of England, admitted last week that interest rates will remain higher for some time to come. The boss of the Old Lady said he stood by the target inflation rate of 2 per cent, but to get there, higher interest rates were necessary in the arsenal for the “last […]
