The world financial crisis and its shadow over the global economy and called in many ways in an attempt by the world’s central banks to deal with many things, especially low inflation and weak growth.
The policies followed so far to tackle inflation and low growth, and the economy back to what it was before the financial crisis did not give a little, such as quantitative easing process and reduce The Quantum Code prices results, prompting central banks to look toward pumping money one way or another process, in particular the printing of money to transform government spending or give people cash and this is called the helicopter.
described the governor of the European Central Bank this process very task, especially as the recession continues to prevail and low inflation, which means that governments may resort to this process is a last-ditch attempt to boost the economy and activate it.
One of the main questions related to the global economy today is whether monetary policy is approaching the end of its effectiveness especially as the inflation rate is still less than the target in the euro area and Japan with quantitative easing policy of aggressive and negative benefits, with the euro improved and the yen against the dollar since the beginning of this year.
Attempts by central banks is effective and remains in pushing the economy and print trillions to buy bonds The Quantum Code Review for that latter solution «remains money chopper», a concept inspired by Milton Friedman in 1969 in which he said that the central bank can always increase the money supply and rid the economy of the trap of deflation. But advocates of «money chopper» (Helicopter money) to look at the results.
While some argue that the policy can be adjusted without causing significant damage to the economy, others see it as a serious transfer of funds from the government budget to the budgets of the central banks with the lack of clarity in the lines between the policies, institutions and relative independence.
Despite the disparity in trends it remains to say that just talk about helicopter money shows the desperation of the central banks in their ability to revive growth and raise inflation and push the economy forward.
Economic experts in the field say that Japan, which is trying to fight deflation is likely to consider the possibility of using this method, as well as the European Central Bank, although QuantumCode said at a press conference that this risky process and the legal and institutional difficulties.
May be the most important of these obstacles it is noteworthy and logical in fact particular he will decide how much of this money and how to perform this operation. There is also a risk of entanglement independence of central banks.
In an interview, said Bernanke, a former Fed governor QuantumCode could prove a valuable tool it is, may be the best alternative in extreme conditions, but it remains too early to pass judgment on ».
But it must be noted here that with the traditional monetary policy, the loss or non-traditional for its effectiveness and its ability to pinch the economy from stagnation now this idea inbound and become discussed widely. Therefore it is unlikely that the helicopter money next stop will be the central banks, after most of the means have been exhausted to stimulate the economy and raise the level of inflation.
Tied Quantum Code Software the idea of a permanent increase financial rule beyond banking channels through a direct transfer of funds in banknotes landing and metaphorically from the sky and require close cooperation between the central bank and the Ministry of Finance has to be easy to speak either applied remains a little difficult because it rarely Central moves and the government in the same way.
The question that arises now Are Europe and Japan lost the necessary means to stimulate the economy and whether we have entered the third decade of decline and contraction, especially as the financial chopper policy will not rely so far has its risks to be more than its advantages, which means she is in most cases a risk by governments after losing all means traditional and non-traditional?
Ordered skeptics remain in the effectiveness of this Quantum Code Scam policy, especially as other policies have failed if you will restore things to what they were previously. Thus, we see Japan, and held third consecutive year, in the stages of contraction and decline followed by Europe, which despite all its attempts to remain suffers from fundamental problems will not be able to overcome them, which enters in the contraction of time similar to a large contraction Japan Michael Crawford Quantum Code Review and the developed world somewhat in growth on the same pace with the decline in developed oil prices and its impact on producing countries, which suffer from a steady decline in their economies, as well as emerging countries.
So talk may be the day for the helicopter is the leading factor in light of the quantitative easing policy failure and a zero-interest rate environment. In an interview late last month, HSBC’s came. In that case the central banks failed policies they must follow the other means such as less stringent and «money chopper policy»
Finally, to say that the central banks have lost a lot of tools that will help stimulate the economy and the rest by economists mortgaging things several financial and economic may be in any case Insufficient Therefore, we believe economists scratching their heads because they have exhausted all means stay they had no choice but to «money chopper »It is also not guaranteed process and exposure to markets risks.