Gini and monetary policy

Source: Cobden Centre
by Alasdair MacLeod

“Central banks must be increasingly aware that critics of monetary policy are getting some traction in their arguments, that not only have monetary policies failed in their objectives, but they are creating counterproductive economic distortions as well. Chief among these is the transfer of wealth that comes with monetary debasement. Central bankers have always glossed over this issue, which if made to stick would undermine monetary policy to the extent that central banks would then have no role in the management of our affairs. Instead, they would be reduced to policing money to make sure it is always sound. At the least, they would have to become Schachts, instead of Havensteins.” (02/14/17)