We need to move on from rear-view mirror economics
Many of the July stimulus package’s measures look good, but they will need to be rigorously monitored
Deadweight is what economists call money that is spent to stimulate activity which would have happened anyway. We need not have any such concerns over the July stimulus package, announced last Thursday.
The need is so great that any money pumped in by the government in any direction is going to realise some benefit. The trick now is to maximise it.
Some of the negative responses towards the stimulus package measures look a bit tired...
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Analysis: Central banking’s brave new world
The ambition of central bankers once was to ‘be boring’ but they now take on responsibility for policy objectives such as tackling inequality and climate change. Not all onlookers are pleased at this ‘self-defined mission creep’
Comment: Putting brakes on stock trading would make GameStop-type events worse
Slowing or staunching trades through a transaction tax as is proposed in the US would prolong the time it takes for a meteoric price rise to correct itself