Bernard Hickey presents a special report on monetary policy. This follows the announcement yesterday from the Labour Party that they are abandoning the political consensus on monetary policy that has lasted in New Zealand since the Reserve Bank Act came in to force in 1989.
Of course targeting the exchange rate is simply leaving our inflation up to other central banks.
And savings rates is always net 0 plus any debt free money from the central bank. One person can only save what another borrowed.
And does any single person or central organisation know how an entire economy should be structured? They cant know.
The best monetary policy would be no monetary policy. Disband all central banks and let the economy rip ;- )
caveltor 2 years ago
if we had high interest rates we would have much higher savings
danbuck333 2 years ago
KIng Hickey
fluentread 2 years ago