The Right Coast

Editor: Thomas A. Smith
University of San Diego
School of Law

A Member of the Law Professor Blogs Network

Tuesday, December 4, 2012

Charles Lane: The Fed’s role in the debt debate - The Washington Post

According to the 2012 annual report of the global “central bank for central banks,” the Bank for International Settlements (BIS), “near zero policy [interest] rates, combined with abundant and nearly unconditional liquidity support, weaken incentives for . . . fiscal authorities to to limit their borrowing requirements.”


The logic of this argument is odd. --TS

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