SO MANY MONETARY POLICY decisions have been wrong in the last few years that it is not surprising that politicians and journalists spend time looking out for yet another cock-up.
According to numerous media reports, the Bank of England’s programmes of “quantitative easing” are “costing the state” — and hence “the taxpayer” — many tens of billions of pounds. An apparently well-informed demand is then made for a major rethinking, or even the permanent abandonment, of QE-type activities.
This is a herring of the deepest vermilion.
The essence of QE
