Friday, 6 March 2009

Quantitative Easing? What idiot called it that?

Ken Clarke has been typically outspoken while talking to a reporter from the Manchester Evening News.

A few moments in to an interview he said:

"The Bank [of England] is going in for quite drastic measures of an unprecedented kind, which some idiot has called quantitative easing."

Watch the video here.

Hat tip to Centre Right.

2 comments:

Wrinkled Weasel said...

Seems like we live in an era of Orwellian tergiversation.

Ralph said...

QE is not a totally illogical name. Most governments most of the time control money via interest rates, ie they control the PRICE. An alternative way of controlling the price and/or quantity of any commodity is to concentrate on the VOLUME being produced rather than the PRICE. "Easing" refers to "relaxing restrictions on the supply" to coin a phrase. I agree QE is a bit of a mouthful, but its not a totally illogical phrase.

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