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How to beat inflation

The right course of action today would be a significant interest rate cut. One per cent would do for starters so long as the signal was given that there was more to come.

Well, it’s certainly different from conventional economics…….

10 thoughts on “How to beat inflation”

  1. Martin – whaddayamean, *after* they throw the next election?

    The point of the (Bank of England approved) coup was that they’re finished with elections as a means of determining important questions of public policy in the United Kingdom.

    From now on, we get to vote on whether Rishi or Sir Keir have the kindest eyes, and their real constituents, men with billions at their disposal, get to tell them what to do at Davos and COP shindigs.

    How else do we think we ended up with every major political party proudly promising to make the electorate a lot poorer?

  2. Martin Near The M25

    I was only talking about his potential appointment to the MPC. Not the economic disaster we face whoever is in ‘power’.

  3. Bloke in North Dorset

    How’s it been going for Erdogan recently?

    But this time it will be different because reasons and anyway, real Spudonomics hasn’t been tried.

  4. I mean I think he believes his appointment to the MPC is due. In reality nobody would sit in the same room as him

  5. Perhaps I wasn’t paying attention back in the 70s but I don’t remember anybody actually saying that the solution to high inflation was to cut the interest rate.

    There was much wailing about how much pain the high interest rates would be, and the effects on unemployment (that was also high, which was presented as being unprecedented). This meant the raises were put off as much as they could. But I don’t think anyone actually argued against.

    Admittedly I was much younger then.

  6. Someone asked the Spud how he would explain Turkey’s inflation…. He just gave a rude non-answer, blaming it on some unexplained factor

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