Another crash is coming. We all know it, now even David Cameron acknowledges it. Or perhaps it’s inaccurate to describe this as another crash. Perhaps it’s a continuation of the last one, the latest phase in a permanent cycle of crisis exacerbated by the measures (credit bubbles, deregulation, the curtailment of state spending) that were supposed to deliver uninterrupted growth, writes George Monbiot in the Guardian, 18th November 2014.
Sir, Simon Ward (Letters, November 13) states that Adair Turner’s proposal to fund government spending with newly created money “would involve the creation of more Bank of England reserves, which represent a liability of the state and bear interest”. But there is no reason that the new liability would have to bear interest, since it could be issued as zero-coupon irredeemable bonds, reads the letter by Fran Boait in Financial Times, 16th Nov 2014.
"Greater regulation of banks does not offer any meaningful solution. Regulation ignores the larger issues at play. As we’ve seen in the limited scope of reforms since the crisis, what happens is that you get thousands of pages of complex regulation. But the bank lobby has huge resources, millions of pounds, to spend on lawyers to water down these changes. And there’s nobody fighting that battle on the side of society", argues Fran Boait, Positive Money's Executive Director in the interview in Cherwell, 8th November 2014
Last week we found out that a historic debate 'Money Creation and Society' had been tabled in the Parliament. This will be the first time since 1844 that Parliament will debate money creation. It is taking place on Thursday 20th November - that is only one week away!
Printing money to fund deficit is the fastest way to raise rates and there are no technical reasons for rejecting this, only the fear of breaking a taboo, writes Lord Adair Turner in Financial Times, 10th November 2014.