4 ms·
> Rather than change interest rates to control inflation it should pivot to a policy of stable interest rates with the goal of maintaining financial stability.
by UncleEntity 4y ago
> Rather than change interest rates to control inflation it should pivot to a policy of stable interest rates with the goal of maintaining financial stability.
And who decides what interest rate is optimal for maintaining financial stability?
I have an alternate suggestion, maybe we let the market set interest rates through the pricing mechanisms which exist for every other good who’s price isn’t fixed by fiat.