First published: The Financial Times, 19/03/2016
Sir, In your editorial “Concern, not panic, over the global economy” (March 12), global policymakers are urged to increase stimulus further. Dismissing the constraints faced by central banks nowadays, as well as some negative consequences of their actions, the main thinking is that they should do more of the same.
Only a gratuitous reference to fiscal policy initiatives was offered. Surely, though, this is all back to front. We should be yelling at governments to use their balance sheets to fund public investment and innovation initiatives, and weaning ourselves steadily away from our obsessive preoccupation with monetary policies as currently constituted….Read more:
