Thursday 29 January 2009

Government to print more money in £50bn bid to end lending freeze

Daily Mail
"The fund lays the groundwork for so-called quantitative easing-style tactics, where money supply is increased.But the plan stops short of pure quantitative easing and is instead seen as a potentially crucial new monetary policy tool to help bring inflation back in line when interest rates cannot be cut further."
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Comment: "Quantitative easing" has been in progress for some time by Mr Brown
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So Alastair Darling might just like to hang on to the jargon 'quantitative easing', which he's now given the Bank of England the green light to do – because it masks the inconvenient truth that, yes, the government is indeed printing money. :Dr Eamonn Butler (January 2009)

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