Budget fibs

The one that is getting me tonight is the idea that we can simultaneously take pressure off inflation and help those in the so called ‘slow lane’. If the slow lane goes faster, rates are going to have to go higher. The fast lane will still be fast — and there is nothing policy can do to extinguish this relative price signal. All it can do is try and facilitate the structural adjustment.

Advertisements
This entry was posted in Uncategorized. Bookmark the permalink.

please comment

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s