Blog
Unit 4 Macro: John Kay on Quantitative Easing
Geoff Riley
22nd July 2013
John Kay looks at the lack of evidence for the effect of quantitative easing as a driver for economic growth. He is excellent on some of paradoxes of the impact of QE on the macroeconomy of countries where it has been tried.
The main effect of QE according to Kay is to boost asset prices and the one certain consequence of this is that those who have assets - such as homeowners and stocks and shares - will benefit.
We strongly recommend that ambitious students take a look at some of the other articles written by John Kay - check out his web site by clicking this link
BBC Video on QE
Geoff Riley
Geoff Riley FRSA has been teaching Economics for over thirty years. He has over twenty years experience as Head of Economics at leading schools. He writes extensively and is a contributor and presenter on CPD conferences in the UK and overseas.