Peter Saunders had to stretch his resources to buy a house this year in Prime Minister David Cameron’s constituency town of Witney, where values have risen at twice the U.K. average over the last three months.
President Barack Obama has shown a determination to redistribute wealth by increasing government spending, despite unsustainable deficits. We shouldn’t be surprised if Janet Yellen, the president’s nominee to be Federal Reserve chairman, shares his objective.
The U.K.’s bet on “draconian” spending cuts and some tax increases will slow growth in real income and may reverse the nation’s economic recovery, according to David Blanchflower , a former Bank of England policy maker.
Former Bank of England policy maker David Blanchflower said the risk of a deflation “nightmare” means officials including Federal Reserve Chairman Ben S. Bernanke should keep stimulus in place until there’s more evidence that private companies are spending again.
Austerity measures proposed by the U.K.’s new coalition government run the risk of reviving the recession unless Bank of England Governor Mervyn King loosens monetary policy, former BOE member David Blanchflower said.
Central banks should continue to keep rates low to stimulate growth because workers’ wages aren’t rising, damping any increase in inflation, according to David Blanchflower , a former policy maker at the Bank of England.
Former Bank of England policy maker David Blanchflower said the next governor of the central bank should be someone with “clean hands” after recent banking- industry scandals appeared to have ruled out several candidates.