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RE: Why the Bank of England's attempt at avoiding recession may make matters worse...

in #news8 years ago

Thanks for sharing your insight @jholmes91, I couldn't agree more that reducing interest rates further and increasing QE will do more harm than good. One thing I'd dispute slightly, however, is that lower interest rates cause people to save less - this is popular economic theory and may be true in some circumstances, but I've read several conflicting opinions which suggest that in actual fact they have caused people to save more due to the fact that they need more savings to achieve the same return.

One of my favourite financial publications that writes extensively on the subject is called Capital and Conflict, published by Money Week Research. They have organised a petition to the UK Government demanding the end of QE - I think anyone in the UK who's of the same opinion should sign it! The petition is found here:

Thanks again for sharing!

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