monetary policy

The Fed should act now

The Fed should act now

The Fed’s wavering over addressing the matter of its announced rate hike has badly affected the markets, increasing their volatility. It should act now, curbing any further speculation, and disregard recent calls from the IMF and the World Bank to further delay this move.




Easy money

Rates do matter

MADRID | June 14, 2015 | By JP Marín ArreseWe take for granted that close to zero rates remain the driving force for delivering growth. The massive liquidity pumped in by Central Banks in developed countries has led to this widespread belief on the merits of cheap money. But such manna brings with it a number of drawbacks. 





A dollar note roll

Monetary policy rules global economy

MADRID | April 20, 2015 | By JP Marín ArreseGovernments in developed countries openly bet on monetary stimulus for getting their economies back on track. The US massive liquidity injection stood as the hallmark for similar moves by Japan and Europe. Yet, the IMF voices concern that running global governance on money tools leads to a liquidity glut while demand and output remain largely subdued.


Keynesians Trojan horse a sign of changing times at OECD

MADRID | By Sean Duffy | The OECD´s economic outlook showed that voices calling for action in Europe are growing louder. With the outcomes of austerity and budgetary consolidation continuing to drag down the economy, Catherine L Mann´s arrival as its chief economist represents a significant coup for advocates of the opposite recipe.