Economic Theory
Nicola Sturgeon, leader of the Scottish National Party (SNP), has declared that there will be a second independence referendum by 2021. This is not unreasonable given the major constitutional change of Brexit. There was a significant amount of comment by IEA authors around the time of the first referendum and then in the period afterwards. ... Continue reading

IEA research quoted in The Spectator

Recent IEA research on the impact of MiFID II regulations is praised in The Spectator, with 'Not everyone's cup of tea...' referred to as a 'positive contribution' to the Brexit debate. The article notes that the EU directives which were supposed to protect the consumer have actually increased charges and reduced choice – while at ... Continue reading

Shadow Monetary Policy Committee votes to hold bank rate

At its second full meeting of 2019, held in April, the Shadow Monetary Policy Committee (SMPC) voted by a narrow margin to keep Bank rate at 0.75%. Five voted to hold rates and four voted for a ¼ point rise. Four main reasons were given by those voting to keep rates at 0.75%. First, raising ... Continue reading

Shadow Monetary Policy Committee votes to hold bank rate

In its March 2019 e-mail poll, the Shadow Monetary Policy Committee (SMPC) elected, by a vote of six to three, to hold rates in March. The three favoured a 0.25% rise. As in previous recent meetings, advocates of holding rates noted that broad money growth continues relatively weak, with some saying that the Bank should ... Continue reading

SMPC votes unanimously to hold bank rate this month

The Global Economy Backdrop: Julian Jessop referred to his presentation slides. He said he will begin with the global backdrop, then move on to the recent performance of the UK economy, before concluding with a discussion of Brexit risks. He said that with the focus on Brexit, something that is not often mentioned is that ... Continue reading
Research

A critical assessment of UK monetary indicators

Summary:  The Monetary Policy Committee of the Bank of England’s reliance on faulty indicators has led to suboptimal policy decisions and masked what is actually happening in the economy. The introduction of quantitative easing (QE) in 2009 has made the money supply relevant again and made a discussion about alternative money supply measures of direct ... Continue reading