Monetarists fear inflation spiral
The Bank is financing the Government’s entire fiscal deficit, pound for pound. This has fueled an explosive rise in the "broad" money supply. The annual growth rate of non-financial M4 has reached 16pc.
Critics warn that this latent stock of money will ignite like rocket fuel once people start spending extra savings built up during the pandemic, or in economic parlance as the "velocity" of money reverts to normal.
Ambrose Evans-Pritchard Telegraph 8 April 2021
El-Erian: Financial System Unprepared for Interest Rate Shock
https://www.youtube.com/watch?v=gUVRJx5VQao&t=3s
Alla är glada.
Utom riksbankscheferna som vet att de inte har någon plan för återgång till något slags normalitet.
https://englundmacro.blogspot.com/2021/03/for-varje-dag-som-gar-med-nollranta.html
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