Commenting on the Bank of England’s decision to hold interest rates, Julian Jessop, Economics Fellow at the Institute of Economic … Continue reading “Bank of England remains in the slow lane on rate cuts”

The Telegraph has revealed that secret “stress tests” by Treasury officials in recent weeks found that a hike in interest … Continue reading “Risk of a rise in interest rates “not an immediate one””

The Bank of England is likely, though not certain, to raise its official interest rate on Thursday. Many commentators think … Continue reading “Why it would be wrong to blame a rate hike on Brexit”

Conventional economics has it that businesses adjust their investment spending decisions according to changes in the cost of capital.  At … Continue reading “Monetary policy: overrated”

Mark Carney will arrive as the new governor of the Bank of England at a time when its policy is … Continue reading “Carney could rescue UK monetary policy but not with more stimulus”

The government yesterday announced major plans to clamp down on the practices of payday loan companies like Wonga. Although sensibly … Continue reading “Ban payday lenders and the vulnerable will be forced to use loan sharks”

According to Wicksell, there are two interest rates, one visible and the other almost totally invisible. The visible rate is … Continue reading “A Wicksellian monetary policy?”

While the full complexity of an economic cycle can never be gauged, economists point to many contributory factors, each with … Continue reading “Taylor Rules – far from ‘OK’!”

Mervyn King has been criticised for crossing a line which separates monetary policy (the Bank’s remit) and fiscal policy (the Treasury’s … Continue reading “The tragedy of the eurozone”