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Opinion: Bollard's Keynesian resurgence
Chris Trotter explains why he likes the big OCR cut at policy.net.nz
"Allan Bollard should be thanked for more than simply knocking down our mortgage rates. The Reserve Bank Governor's decision to cut the OCR by 50 basis-points also represented a courageous endorsement of old-fashioned Keynesian economics...
" ... One person who will not be snorting with a mixture of derision and disgust at this latest sign of Keynesian resurgence is Michael Cullen. Indeed, Cullen could hardly have hoped for better than a 50 basis-point reduction ... "
Read the rest of of Trotter's piece here.
2 Comments
I understood that under the
I understood that under the reserve bank act the governor of the reserve bank resigned if inflation got above 2%(?).. In addition inflation (including asset inflation) isn't healthy unless you like the idea of Richmastery types buying up the nieghbourhood.
Christ, I've agreed with Trostky
Christ, I've agreed with Trostky twice in as many months.
... must not burn gold card and don cloth cap ...
The banks are pissed because they got caught with their trousers down, way down, bending over, grasping their cheeks, smiling over their shoulders with a cocquettish twinkle in their eyes, thinking they'd stand up at the last minute but found their amores were slightly quicker off the mark and now they feel soiled.
Any inference that I'm comparing bankers to cheap whores is entirely in the mind of the reader and of course not what I am intending to convey ... Yeah right.