Wednesday, 28 September 2016

Commentary

Commentaries by Atlas staff and those associated with the Sound Money Project.

Don’t blame central bankers for persistently low interest rates

August 23, 2016

Many who are supportive of free markets blame central banks for the low interest rates that have prevailed since the end of the 2007-8 financial crisis.  This is a mistake. Central banks can, in the short run and all else being equal, lower market interest rates through expansionary open market operations.  But this ‘liquidity effect’ […]

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Natural rate of interest: Is it that low?

August 10, 2016

One of the open questions since the subprime crisis is whether or not the natural rate of interest is as low as the federal funds rate. The natural interest rate is the rate that equilibrates production over time. However, this concept is more subtle than output being equal to potential output– it also implies that production is distributed […]

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The monetary ripples of Brexit

Posted by Yamila Feccia
July 20, 2016

June 23 will most likely be remembered as a turning point in Britain’s fate, as 17.4 million Britons expressed their desire to sever ties with the European Union (EU) in a historic referendum. The British, and global, economy is facing an imminent cloud of uncertainty. From the moment that the markets opened, and crashed, last […]

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Austerity isn’t failing, big government is

July 18, 2016

Bill Emmott at Project Syndicate claims that austerity is failing—just look at the poor European recovery after the financial crisis and the weak Japanese economy. Austerity is not working and therefore it is time to turn fiscal and increase government spending. This is the core of Emmott’s argument. Don’t forget, however, that he considers the Eurozone […]

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Against monetary democracy

July 13, 2016

Thanks in part to high-profile and controversial public policy since the financial crisis, and to a lesser extent politicians such as Ron and Rand Paul, the monetary and financial arrangements of the United States have become a surprising source of public indignation.  Monetary and financial policy, previously a subject that would put almost all voters […]

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