Leta i den här bloggen

2019-10-22

Mervyn King's analysis of the “Great Stagnation”

Policymakers like to congratulate themselves on how they avoided the mistakes of the Great Depression during the Global Financial Crisis

We have not really addressed any of the fault lines at the heart of our economies and financial system. The low interest rate environment has given rise to a desperate search for yield, setting us up for renewed financial crisis.

Larry Summers resurrected the term “secular stagnation” six years ago

King’s big point is that there has been an intellectual failure at the heart of the policy response to low growth. We’ve seen it as just another Keynesian downturn, only worse, that can be treated using tried and tested, countercyclical fiscal and monetary means.

As so often with analysis of this sort, King is good at articulating what’s wrong with the global economy, not so good when it comes to solutions.

Jeremy Warner 22 October 2019

Secular Stagnation

Money, Banking and the Future of the Global Economy, by Mervyn King. 
Review by John Plender

Lord Mervyn King, former governor of the Bank of England. 
His book is called The End of Alchemy.





2019-10-19

Four books on 1989 and its impact

1989. On June 4, the day when Poland’s patriotic trade union movement Solidarity swept to an overwhelming victory over the Communist party in semi-free elections

Tony Barber FT 17 October 2019



No. 303 (Polish) Fighter Squadron

2019-10-16

Low interest rates fuel financial risk-taking, IMF warns

“Accommodative monetary policy is supporting the economy in the near-term, but easy financial conditions are encouraging financial risk-taking and are fuelling a further build-up of vulnerabilities in some sectors and countries,” the IMF said.

FT 16 October 2019

IMF fears the world's financial system is even more destructive than in 2008

We will have to be very creative if any of the IMF’s dark fears come true.

Ambrose Evans-Pritchard Telegraph 16 October 2019


IMF Global Financial Stability Report


2019-10-14

In the end, then, Mr Tsipras morphed into the kind of leader Brussels wanted him to be.

A harrowingly detailed tale of incompetence and intransigence in the Greek debt crisis

The Last Bluff, by Viktoria Dendrinou and Eleni Varvitsioti

FT 14 October 2019