There is this view going around that the financial crisis has undermined central bank independence – or made it less important. I have no idea where this has even come from, and it doesn’t seem to follow for me. If anything, the crisis appears to have increased the importance of credibility and independence. What? Well […]
I keep being told that economists caused the financial crisis. Sometimes I get blamed as well, but I usually have the excuse that I was in New Zealand when the housing market started to fall apart in the US. As a result, I’ve been trying to think of similar statements. A discipline that aims to […]
I wrote down post trying to give some perspective of what the “QE for NZ” policy of the Greens was suggesting. However, I’d also like a link of what other people have said – so I’m writing this post and just putting in the links 🙂 Dim Post Rates Blog/NZIER Gareth Morgan Anti-Dismal set of […]
Via Economist’s View comes this excellent post by Economic Principals. That the world economy received a “shock” when US government policy reversed itself in September 2008 and permitted Lehman Brothers to fail: what kind of an explanation is that? Meanwhile, the shadow banking industry, a vast collection of financial intermediaries that included money market funds, […]
The opposition parties are calling for an inquiry about what is going on in the country. This is alright – but I’m not sure we actually need another inquiry per se (I spelt it right this time!). We’ve long recognised that NZ has a high real exchange rate/high real interest rates (most recent related posts […]
As a result, I won’t be around to answer comments over the next few weeks. If you really want to say something and get a response flick me an email – although I will only see that very occasionally. However, I’m just pointing this out as an explanation for why I won’t be replying to […]