Conventional neoclassic economics assumes the economy will always arrive at an equilibrium, yet central banks spend an inordinate amount of time speculating on when they should next move interest rates, and in what direction. In this edition of the Debunking Economics podcast Phil Dobbie asks Professor Steve Keen what interest rate decisions are intended to achieve and if they have their desired effect. We talk about this as the US Federal reserve prepares itself for one, possibly two, more interest rate rises this year.
To hear the full version subscribe by picking a plan in the right column of the Debunking Economics website (not the mobile app). Or become a patron at https://www.patreon.com/ProfSteveKeen
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Bond yields and equities both rise sharply. Please explain.
Bond yields are rising, but so are US shares. NAB’s Ray Attrill looks at the reasons why in today’s Morning Call. Plus IMF forecasts downgrade growth, except for Australia.
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US inflation numbers hit shares, bond markets more restrained
The market focus was on the US CPI print overnight says NAB’s Skye Masters, with a surprise lift in the core number. That’s hit shares, and front end yields, but less movement in longer dated bonds suggest markets haven’t changed their view of the end-game for the Fed.
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Copyright law will help the Government’s website blocking
A government review has concluded that there are only minor changes needed to how agencies enforce website blocking, but it seems to ignore the impending changes to copyright law.
