Inflation continues to be on everyone’s lips. At 7.4 per cent, a rate was reached in April this year that is almost unique in the history of the Federal Republic of Germany. Only in the early summer of 1973, around the turn of the year 1973/1974 and in October 1981 was the rate of increase in the consumer price index higher than at present. The pressure on the ECB to respond with interest rate hikes is growing daily. At the same time, the proponents of a tighter monetary policy fail to provide a plausible explanation as to how and with what macroeconomic consequences interest rate hikes can bring the current price increases for imported commodities to a halt.
It is the same old story. While Keynesian economists and leftists are hailing the success of a centre-left coalition in Portugal purportedly defying austerity, in reality it is the same old Social Democrat sleaze and […]
So there is no hint of a return to the position that other central banks have taken. The Bank of Japan is firmly committed to providing ‘expansionary’ conditions to encourage growth in wages, which they […]
Some things never change. Governments still protect banks. It does not matter what they do, as with the Royal Bank of Scotland. Read here