Google Groups no longer supports new Usenet posts or subscriptions. Historical content remains viewable.
Dismiss
Merv's replacement doesn't like EU austerity
3 views
Skip to first unread message
DVH
May 21, 2013, 5:02:41 PM5/21/13
to
Mark Carney doesn't like EU austerity and doesn't like fiscal profligacy.
He does like price stability. A lot.
About a month ago, he was alleged to be interested in a refined NGDP
targeting. And price stability "does not guarantee financial stability
and might even promote financial instability over the medium term".
So that's clear.
Today, he said:
"Europe remains in recession, with economic activity constrained by
fiscal austerity, low confidence and tight credit conditions. Deep
challenges persist in its financial system. Without sustained and
significant reforms, a decade of stagnation threatens.
Europe can draw lessons from Japan on the dangers of half measures. It
is now more than two decades since the Japanese financial crisis
erupted. To end its debilitating legacy, Japan has just embarked on a
bold policy experiment. Its success or failure will have a major impact
on the outlook over the coming years.
Amongst the G-7, Canada is unique. For us, the global financial crisis
was an external rather than internal shock. When Canadian policy-makers
responded quickly and forcefully, our financial system channelled credit
to where it was needed and our economy adjusted smartly.
[...]
In the medium term, one of the building blocks of European fiscal
federalism could be a pan-European employment insurance scheme built on
a common European labour market. This would reduce impediments for those
looking across the continent for work, while providing a cross-country
automatic stabilizer.
[...]
Sound macroeconomic policy is the cornerstone of prosperity. Fiscal
profligacy erodes economic sovereignty; price stability is paramount."
http://www.bankofcanada.ca/2013/05/speeches/canada-works/
He does like price stability. A lot.
About a month ago, he was alleged to be interested in a refined NGDP
targeting. And price stability "does not guarantee financial stability
and might even promote financial instability over the medium term".
So that's clear.
Today, he said:
"Europe remains in recession, with economic activity constrained by
fiscal austerity, low confidence and tight credit conditions. Deep
challenges persist in its financial system. Without sustained and
significant reforms, a decade of stagnation threatens.
Europe can draw lessons from Japan on the dangers of half measures. It
is now more than two decades since the Japanese financial crisis
erupted. To end its debilitating legacy, Japan has just embarked on a
bold policy experiment. Its success or failure will have a major impact
on the outlook over the coming years.
Amongst the G-7, Canada is unique. For us, the global financial crisis
was an external rather than internal shock. When Canadian policy-makers
responded quickly and forcefully, our financial system channelled credit
to where it was needed and our economy adjusted smartly.
[...]
In the medium term, one of the building blocks of European fiscal
federalism could be a pan-European employment insurance scheme built on
a common European labour market. This would reduce impediments for those
looking across the continent for work, while providing a cross-country
automatic stabilizer.
[...]
Sound macroeconomic policy is the cornerstone of prosperity. Fiscal
profligacy erodes economic sovereignty; price stability is paramount."
http://www.bankofcanada.ca/2013/05/speeches/canada-works/
abelard
May 21, 2013, 5:24:40 PM5/21/13
to
pronouncements announcements are easier to translate
DVH
May 21, 2013, 5:31:55 PM5/21/13
to
It's not a central banker's job to say anything that could be understood
as meaning something.
JNugent
May 21, 2013, 6:37:09 PM5/21/13
to
On 21/05/2013 22:02, DVH wrote:
> Mark Carney doesn't like EU austerity and doesn't like fiscal profligacy.
>
> He does like price stability. A lot.
Good.
> Mark Carney doesn't like EU austerity and doesn't like fiscal profligacy.
>
> He does like price stability. A lot.
Then he won't hesitate to give the absolutely necessary advice that the
UK's interest rates are a joke and need to be increased substantially
(by at least 3% immediately).
Bill
May 21, 2013, 6:47:45 PM5/21/13
to
On Tue, 21 May 2013 23:37:09 +0100, JNugent <jenni...@fastmail.fm>
wrote:
>On 21/05/2013 22:02, DVH wrote:
>
>> Mark Carney doesn't like EU austerity and doesn't like fiscal profligacy.
>>
>> He does like price stability. A lot.
>
>Good.
>
>Then he won't hesitate to give the absolutely necessary advice that the
>UK's interest rates are a joke and need to be increased substantially
>(by at least 3% immediately).
>
With the current increase in share prices?
I think not.
The economy, well, the casino part of it anyway, is booming.
wrote:
>On 21/05/2013 22:02, DVH wrote:
>
>> Mark Carney doesn't like EU austerity and doesn't like fiscal profligacy.
>>
>> He does like price stability. A lot.
>
>Good.
>
>Then he won't hesitate to give the absolutely necessary advice that the
>UK's interest rates are a joke and need to be increased substantially
>(by at least 3% immediately).
>
I think not.
The economy, well, the casino part of it anyway, is booming.
abelard
May 21, 2013, 6:51:36 PM5/21/13
to
>On 21/05/2013 22:02, DVH wrote:
>
>> Mark Carney doesn't like EU austerity and doesn't like fiscal profligacy.
>>
>> He does like price stability. A lot.
>
>Good.
>
>Then he won't hesitate to give the absolutely necessary advice that the
>UK's interest rates are a joke and need to be increased substantially
>(by at least 3% immediately).
does that mean you're against the constant lowering of prices
>
>> Mark Carney doesn't like EU austerity and doesn't like fiscal profligacy.
>>
>> He does like price stability. A lot.
>
>Good.
>
>Then he won't hesitate to give the absolutely necessary advice that the
>UK's interest rates are a joke and need to be increased substantially
>(by at least 3% immediately).
for all electronic(of a given capability and quality)?
abelard
May 21, 2013, 6:58:02 PM5/21/13
to
DVH
May 22, 2013, 1:24:40 AM5/22/13
to
"Maradona ran 60 yards from inside his own half beating
five players before placing the ball in the English goal. The truly
remarkable thing, however, is that, Maradona ran virtually in a straight
line. How can you beat five players by running in a straight line? The
answer is that the English defenders reacted to what
they expected Maradona to do. Because they expected Maradona to move
either left or right, he was able to go straight on." - Merv.
abelard
May 22, 2013, 5:43:42 AM5/22/13
to
at an answer to that
>"Maradona ran 60 yards from inside his own half beating
>five players before placing the ball in the English goal. The truly
>remarkable thing, however, is that, Maradona ran virtually in a straight
>line. How can you beat five players by running in a straight line? The
>answer is that the English defenders reacted to what
>they expected Maradona to do. Because they expected Maradona to move
>either left or right, he was able to go straight on." - Merv.
merv normally is straightforward...that most people don't follow
what he means is not his fault...
saying nothing is a waste of my time....
i don't mind him dodging now and again...
JNugent
May 22, 2013, 9:35:16 PM5/22/13
to
Why would it?
abelard
May 23, 2013, 6:56:06 AM5/23/13
to
On Thu, 23 May 2013 02:35:16 +0100, JNugent <jenni...@fastmail.fm>
wrote:
>On 21/05/2013 23:51, abelard wrote:
>> On Tue, 21 May 2013 23:37:09 +0100, JNugent <jenni...@fastmail.fm>
>> wrote:
>>
>>> On 21/05/2013 22:02, DVH wrote:
>>>
>>>> Mark Carney doesn't like EU austerity and doesn't like fiscal profligacy.
>>>>
>>>> He does like price stability. A lot.
>>>
>>> Good.
>>>
>>> Then he won't hesitate to give the absolutely necessary advice that the
>>> UK's interest rates are a joke and need to be increased substantially
>>> (by at least 3% immediately).
>>
>> does that mean you're against the constant lowering of prices
>> for all electronic(of a given capability and quality)?
>
>No.
>
>Why would it?
because you think government should work for stable prices
>On 21/05/2013 23:51, abelard wrote:
>> On Tue, 21 May 2013 23:37:09 +0100, JNugent <jenni...@fastmail.fm>
>> wrote:
>>
>>> On 21/05/2013 22:02, DVH wrote:
>>>
>>>> Mark Carney doesn't like EU austerity and doesn't like fiscal profligacy.
>>>>
>>>> He does like price stability. A lot.
>>>
>>> Good.
>>>
>>> Then he won't hesitate to give the absolutely necessary advice that the
>>> UK's interest rates are a joke and need to be increased substantially
>>> (by at least 3% immediately).
>>
>> does that mean you're against the constant lowering of prices
>> for all electronic(of a given capability and quality)?
>
>No.
>
>Why would it?
JNugent
May 23, 2013, 7:01:48 AM5/23/13
to
Low- or nil-inflation is not the same thing as stable or unchanging
prices. Even in a nil inflation environment, some prices will change,
particularly in conditions of changing technology and in markets were
fashion, sentiment, etc, are important.
Change in prices is not the definition of inflation. Inflation is a fall
in the value of money.
abelard
May 23, 2013, 7:09:32 AM5/23/13
to
On Thu, 23 May 2013 12:01:48 +0100, JNugent <jenni...@fastmail.fm>
i'm not arguing with that...
my question was a response to:-
>>>>>> He does like price stability. A lot.
>>>>>
>>>>> Good.
however, the fake inflation numbers used by government
incorporate external rising/falling prices...
eg, the recent fall in the rate of increase is tagged to recent oil
price falls...
thus, changes in supply and demand feed into the fake inflation
numbers
my question was a response to:-
>>>>>> He does like price stability. A lot.
>>>>>
>>>>> Good.
incorporate external rising/falling prices...
eg, the recent fall in the rate of increase is tagged to recent oil
price falls...
thus, changes in supply and demand feed into the fake inflation
numbers
JNugent
May 23, 2013, 7:15:34 AM5/23/13
to
3% inflation with interest rates as low as 0.1% on deposit is a crime
against the people. Depositing money needs, at a minimum, to protect it
from inflation and it really needs to provide a positive return on the
foregone utility (the whole reason for interest).
None of us live for ever, so arguments about the long run are of little
avail here.
> however, the fake inflation numbers used by government
> incorporate external rising/falling prices...
>
> eg, the recent fall in the rate of increase is tagged to recent oil
> price falls...
> thus, changes in supply and demand feed into the fake inflation
> numbers
One's personal inflation rate will definitely vary from that of A N
Other (because it will depend on what one would have done with the
money), but we still have to measure inflation in one way or another,
rather than in 60,000,000 ways.
abelard
May 23, 2013, 7:30:07 AM5/23/13
to
On Thu, 23 May 2013 12:15:34 +0100, JNugent <jenni...@fastmail.fm>
it's just about the only rational way to clean up the mess left
by brown et al...
the banks are insolvent...the government is insolvent...
many are in deep trouble from over leverage...
this is the only way to clean the stables...
the sheriff of nottingham need your chickens..your wealth
must be regularised
>None of us live for ever, so arguments about the long run are of little
>avail here.
>
>> however, the fake inflation numbers used by government
>> incorporate external rising/falling prices...
>>
>> eg, the recent fall in the rate of increase is tagged to recent oil
>> price falls...
>> thus, changes in supply and demand feed into the fake inflation
>> numbers
>
>I am aware of that, but really, it's all we have to go on.
taking the figures apart gives more data...
to me, the broad money supply is critical
>One's personal inflation rate will definitely vary from that of A N
>Other (because it will depend on what one would have done with the
>money), but we still have to measure inflation in one way or another,
>rather than in 60,000,000 ways.
that is a purple haddock to me!
by brown et al...
the banks are insolvent...the government is insolvent...
many are in deep trouble from over leverage...
this is the only way to clean the stables...
the sheriff of nottingham need your chickens..your wealth
must be regularised
>None of us live for ever, so arguments about the long run are of little
>avail here.
>
>> however, the fake inflation numbers used by government
>> incorporate external rising/falling prices...
>>
>> eg, the recent fall in the rate of increase is tagged to recent oil
>> price falls...
>> thus, changes in supply and demand feed into the fake inflation
>> numbers
>
>I am aware of that, but really, it's all we have to go on.
to me, the broad money supply is critical
>One's personal inflation rate will definitely vary from that of A N
>Other (because it will depend on what one would have done with the
>money), but we still have to measure inflation in one way or another,
>rather than in 60,000,000 ways.
Andy Walker
May 23, 2013, 8:39:32 AM5/23/13
to
On 23/05/13 12:30, abelard wrote:
> On Thu, 23 May 2013 12:15:34 +0100, JNugent <jenni...@fastmail.fm>
> wrote:
>> 3% inflation with interest rates as low as 0.1% on deposit is a crime
>> against the people.
Well, yes; so why keep your money in that account [or in one
> On Thu, 23 May 2013 12:15:34 +0100, JNugent <jenni...@fastmail.fm>
> wrote:
>> 3% inflation with interest rates as low as 0.1% on deposit is a crime
>> against the people.
offering 0.01%, for that matter]? It's easy enough to get between 1.75%
and 2.3% without having to do anything at all unusual -- still not good,
but not in the "having a laugh" regime. I still have an ISA offering
3.4% [worth therefore between 4.25% and 8.5% to income-tax payers];
sadly, its "fixed term" expires soon, and the replacement offers only
2.3% [2.875%, 5.67%], so I must start shopping around.
[...]
> the sheriff of nottingham need your chickens..
I wish you'd stop blaming a poor, inoffensive, ceremonial
functionary for the world's ills! FWIW, Nottingham didn't even have
a sheriff at the time of King John. But it's good for tourism.
--
Andy Walker,
Nottingham.
abelard
May 23, 2013, 1:05:48 PM5/23/13
to
On Thu, 23 May 2013 13:39:32 +0100, Andy Walker <ne...@cuboid.co.uk>
wrote:
>On 23/05/13 12:30, abelard wrote:
>> On Thu, 23 May 2013 12:15:34 +0100, JNugent <jenni...@fastmail.fm>
>> wrote:
>>> 3% inflation with interest rates as low as 0.1% on deposit is a crime
>>> against the people.
>
> Well, yes; so why keep your money in that account [or in one
>offering 0.01%, for that matter]?
because you can't do sums :-)
> It's easy enough to get between 1.75%
>and 2.3% without having to do anything at all unusual -- still not good,
>but not in the "having a laugh" regime. I still have an ISA offering
>3.4% [worth therefore between 4.25% and 8.5% to income-tax payers];
>sadly, its "fixed term" expires soon, and the replacement offers only
>2.3% [2.875%, 5.67%], so I must start shopping around.
>
>[...]
>> the sheriff of nottingham need your chickens..
>
> I wish you'd stop blaming a poor, inoffensive, ceremonial
>functionary for the world's ills! FWIW, Nottingham didn't even have
>a sheriff at the time of King John. But it's good for tourism.
i'm sure you're correct...
and john was quite a good king...after the mess henry2 made
of his child raising responsibilities
wrote:
>On 23/05/13 12:30, abelard wrote:
>> On Thu, 23 May 2013 12:15:34 +0100, JNugent <jenni...@fastmail.fm>
>> wrote:
>>> 3% inflation with interest rates as low as 0.1% on deposit is a crime
>>> against the people.
>
> Well, yes; so why keep your money in that account [or in one
>offering 0.01%, for that matter]?
> It's easy enough to get between 1.75%
>and 2.3% without having to do anything at all unusual -- still not good,
>but not in the "having a laugh" regime. I still have an ISA offering
>3.4% [worth therefore between 4.25% and 8.5% to income-tax payers];
>sadly, its "fixed term" expires soon, and the replacement offers only
>2.3% [2.875%, 5.67%], so I must start shopping around.
>
>[...]
>> the sheriff of nottingham need your chickens..
>
> I wish you'd stop blaming a poor, inoffensive, ceremonial
>functionary for the world's ills! FWIW, Nottingham didn't even have
>a sheriff at the time of King John. But it's good for tourism.
and john was quite a good king...after the mess henry2 made
of his child raising responsibilities
0 new messages