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QE MAKES THE RICH RICHER AND THE POOR POORER - NAB NAB Head of Markets Strategy Nick Parsons says quantitative easing works by making the rich richer and the poor poorer. SHOWS: LONDON, ENGLAND, UNITED KINGDOM (FEBRUARY 13, 2015) (REUTERS - ACCESS ALL) 1. SLATE, READING (English): "WHAT IMPACT DO WIDESPREAD LOW INTEREST RATES HAVE ON THE GLOBAL ECONOMY?" 2. NAB, HEAD OF MARKETS STRATEGY, NICK PARSONS, SAYING: "On the global economy they distort activity. They lead to the misallocation of resources and at the margin, well not at the margin, fundamentally the issue comes back to one of equality. The fact is that QE works by making the rich richer and the poor poorer. It inflates the price of assets and it penalises those on fixed incomes. And I think over time we are going to see a fundamental reassessment of the merits of QE. To the extent that is does lead to the misallocation of resources. A confusion of price signals in the real economy. There is a very great danger that it is doing more harm than good from current levels." SHOWS: LONDON, ENGLAND, UNITED KINGDOM (FEBRUARY 13, 2015) (REUTERS - ACCESS ALL) 3. SLATE, READING (English): "DOES IT FORCE COUNTRIES TO PLAY GAMES WITH THEIR CURRENCIES?" 4. NAB, HEAD OF MARKETS STRATEGY, NICK PARSONS, SAYING: It forces them to play very dangerous games and I think the term 'currency wars' is highly appropriate. And I think we should describe it as what it is. Growth achieved through currency depreciation is essentially theft. It is stealing someone else's growth and when everyone engages in similar policies simultaneously all it is going to lead to is an increase in volatility and potentially a dampening of activity. So it is not just a zero sum game over time, it actually could be counterproductive."