Monetary Policy

IEA research quoted in The Daily Telegraph

The Government’s debts are now worth more than the entire economy’s annual output, Tim Wallace reports in The Daily Telegraph. The debt’s sustainability also relies on interest rates remaining low. Currently the general view is that deflation is a bigger risk than inflation, with central banks around the world struggling to lift inflation to their ... Continue reading

IEA research quoted in The Times

Money printing could "send prices soaring," writes The Times' Economics Editor Philip Aldrick. Citing the IEA's new briefing paper – Inflation: The next threat? – which was authored by two members of the Institute of International Monetary Research, Aldrick says: "With the consumer prices index in Britain falling to a four-year low of 0.5 per cent, uncontrolled ... Continue reading

IEA research quoted in the Daily Mail

One fear among some economists about the policy response to the virus is that we are storing up huge trouble and at some point down the line it will create an inflationary boom. Quoting our new briefing paper, "Inflation: The next threat?", the article says: "The IEA raised the spectre of rampant inflation yesterday, warning ... Continue reading
New research from the Institute of Economic Affairs asks: Is inflation the next threat? The policy reaction to the Covid-19 pandemic will increase budget deficits massively in all the world’s leading countries; The deficits will to a significant extent be monetised, with heavy state borrowing from both national central banks and commercial banks; By mid- or ... Continue reading
Research
Summary The policy reaction to the Covid-19 pandemic will increase budget deficits massively in all the world’s leading countries. The deficits will to a significant extent be monetised, with heavy state borrowing from both national central banks and commercial banks. The monetisation of budget deficits, combined with official support for emergency bank lending to cash-strained ... Continue reading
The Bristol Pound is on its last legs. The idea of creating a local currency for the city emerged “around a table in a pub in early 2009” but will soon come to an end unless its directors can find £100,000 to cover its running costs. Printing money is not an option this time. Bristol’s experiment is not ... Continue reading
Monetary Policy
The last few years have witnessed ongoing controversy over proposals to abolish cash. The War on Cash is being promoted by an alliance of big digital payments firms, control ideologues and central banks. The payments firms promote it for commercial reasons: they wish to eliminate a competitor, so they can increase the fees they charge ... Continue reading