This overemphasis on controlling inflation by central banks ranging from the Deutsche Bundesbank to ECB to the Reserve Bank of India to the Thai Central (Bank of Thailand) has wrought havoc on the youth. This compression of demand has smothered private growth initiatives. The intransigent approach of the monetary policy makers bordering on intellectual arrogance and a total disregard for fiscal policy priorities are an indication of the tyranny of the supposedly learned few on the many .
Keynes saw that recessions and depressions do happen and suggestions included pump priming and deficits. These are deemed taboo by the monetarists. Net of net , monetarists obsessed with prices seem to assure that there are no price rises with fewer jobs . This hard band policy is harsh- careers are ruined of talented people who have no takers for skills. Greece and Spain to Australia the issues are the same. Since 1992 there are capital adequacy norms which assigns highest weight to private entrepreneurial talent!It gives lowest risk weight to sovereign debt! And then the public sector crowds out the efficient private sector.
Can we be pragmatic for the sake of the youth?
Views expressed without any risk and / or responsibility.
Keynes saw that recessions and depressions do happen and suggestions included pump priming and deficits. These are deemed taboo by the monetarists. Net of net , monetarists obsessed with prices seem to assure that there are no price rises with fewer jobs . This hard band policy is harsh- careers are ruined of talented people who have no takers for skills. Greece and Spain to Australia the issues are the same. Since 1992 there are capital adequacy norms which assigns highest weight to private entrepreneurial talent!It gives lowest risk weight to sovereign debt! And then the public sector crowds out the efficient private sector.
Can we be pragmatic for the sake of the youth?
Views expressed without any risk and / or responsibility.
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