Prominent Economists who advocate Public Money Creation – Summary
22 June, 2016Earlier in the year, Positive Money showed that there is a strong intellectual history behind the idea of Public Money Creation. We argued that Public Money Creation needn't be right or left of the political spectrum - it is simply the way forwards. Indeed we showed that some of the most famous economists of the 20th [...]
US Federal Reserve ‘Might Legitimately Consider’ Public Money Creation
20 June, 2016The Federal Reserve 'might legitimately consider’ using Public Money Creation in ‘extreme circumstances’, when there is ‘very weak growth’ or ‘deflation’, Fed Chairwoman Janet Yellen said earlier this week at a press conference. Yellen did not elaborate on what type of Public Money Creation the Fed would consider using. However, it is relatively safe to [...]
A History of Public Money Creation – Summary
9 June, 2016Throughout history, governments have used their ability to create money to fund public spending. While none of these policies were called, “People’s QE”, "Strategic QE", “Sovereign “Money Creation”, or “Helicopter Money” (what Positive Money collectively refers to as Public Money Creation), they shared the common trait of using newly created state money to finance government spending, [...]
Prominent Activists and Special Advisors who advocate a different type of QE
23 May, 2016In a recent post, Positive Money showed that there is a strong intellectual history behind the various proposals for alternatives to QE that were aimed at the real economy. Today, these types of proposals are commonly referred to as “People’s QE”, “Sovereign Money Creation”, and “Helicopter Money” amongst others. They advocate a different form of QE than [...]
Inflation and the Bank of England’s Catch 22
18 May, 2016After a slow but steady increase since October, the UK rate of inflation fell to 0.3% in April from 0.5% in March, deviating from the expectations that economists had pencilled in. What triggered this decline? And more importantly, what are some of the headwinds in the face of monetary policy? Inflation in the UK The [...]
Seven ways QE has not worked in the Eurozone
17 May, 2016It's been more than one year since the ECB’s Quantitative Easing programme started. Having pumped over €720 billion of central bank money into financial markets, in an attempt to boost Eurozone inflation, it is worth assessing whether QE is having its desired effect. To achieve this end, we have written a formal evaluation of the Eurozone’s [...]
What are the alternatives to QE? How about money creation for the public?
9 May, 2016Since 2010, the Quantitative Easing (QE) programme has pumped £445 billion into the UK’s banking system. While QE may have prevented the financial crisis from sending the UK even further into recession, designed differently, this money could have reached the households and businesses that needed it the most. Instead, QE flooded financial markets with billions [...]
Prominent politicians who advocate a different type of QE
4 May, 2016In a recent post, Positive Money showed that there is a strong intellectual history behind the various proposals for alternatives to QE that were aimed at the real economy. Today, these types of proposals are commonly referred to as “People’s QE”, “Sovereign Money Creation”, and “Helicopter Money” amongst others. They advocated a different form of QE [...]
A Guide to Public Money Creation: Outlining the Alternatives to Quantitative Easing
28 April, 2016More and more people are joining Positive Money to critique the Bank of England’s current £445 billion Quantitative Easing (QE) programme and call for an alternative. This has prompted newfound interest in unconventional monetary policy proposals, also known as ‘Helicopter Money’, ‘Overt Monetary Finance’ (OMF), ‘Strategic QE’, ‘Green QE’, ‘Green Infrastructure QE’, ‘People’s QE’ and [...]