The View From The Bridge

Fed Up – February 18th 2017

If you were going to set up an organisation to help control and regulate the economy and the banking system how would you start? Would you employ over 1,000 Ivy League trained economists, many with PhDs, but little or no practical knowledge of running businesses? Would your board of governors come from the same background and would the owners of the organisation be the very bankers that you were duty bound to regulate? I somehow doubt it. But even if you were so minded would you then allow untested economic theories to be implemented without a thorough study of the potential consequences of zero or even negative interest rates on the real economy or the massive inflation of your balance sheet by the purchase of trillions of dollars’ worth of government debt? No, you wouldn’t, but welcome to the world that is the Federal Reserve System of the United States. Nine years into the recovery from the Great Financial Crisis and the Fed is still wondering why its policies are not working as intended. Their theory goes that if you lower interest rates, companies will be happy to borrow and invest in their businesses as consumers, who begin to feel the wealth effect of rising property and stock prices, pick up their spending levels. Several problems…

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A case for Brexit; the EU’s seven deadly sins

Whether your main interest is equality, liberty, democracy, economic survival, sovereignty, debt reduction, increased export potential, encouraging entrepreneurs, fiscal independence, social fairness, overpopulation, community mutualism or calling leaders to account, it has become abundantly clear since 2008 that you will have to forfeit every one of these aspirations if your preference is to stay within the European Union. John Ward blogger at The Slog https://hat4uk.wordpress.com/  Please read on or to download in pdf format to read later click here “When it becomes serious, you have to lie”. “We all know what to do, we just don’t know how to get re-elected after we’ve done it”. Both quotes by Jean-Claude Juncker, Luxembourg politician and President of the European Commission. These quotes provide a fascinating insight into the psychology and intentions of the EU leadership. These people have a profound impact on our everyday lives, but that may be about to change. “It” just got “serious”; the UK is about to make a decision that could alter the course of history, not just for the UK and Europe, but for the rest of the world too. It was no accident that Obama recently visited these shores and gave us an ultimatum to toe the line, vote to remain and sign up to the Transatlantic Trade and Investment Partnership –…