The UK cannot "run out of money"

Re: The UK cannot "run out of money"

Postby MungoBrush » Thu Apr 12, 2018 9:32 pm

Gigabit wrote:You keep fantastically missing the point. The 2008 bailout was a Central Government policy. They said to the BoE, "print us some money", and they did...


Don't you understand even the basics Gigabit?
One of the functions of the Bank of England is to be the "Lender of last resort"
You'd better look that up and learn
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Re: The UK cannot "run out of money"

Postby Gigabit » Thu Apr 12, 2018 10:52 pm

I assume you're just going to avoid the question indefinitely. We are done.
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Re: The UK cannot "run out of money"

Postby Cannydc » Fri Apr 13, 2018 8:45 am

Gigabit wrote:You keep fantastically missing the point. The 2008 bailout was a Central Government policy. They said to the BoE, "print us some money", and they did...


Absolutely correct.

The policy, called Quantitative Easing, pumped some £435Bn into the economy. To do this the central bank buys assets, usually government bonds, with money it has "printed" - or, more accurately, created electronically.

Simple as that. And yes, they can rinse and repeat if necessary as long as inflation remains relatively low.
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Re: The UK cannot "run out of money"

Postby MungoBrush » Fri Apr 13, 2018 9:12 am

Cannydc wrote:
Gigabit wrote:You keep fantastically missing the point. The 2008 bailout was a Central Government policy. They said to the BoE, "print us some money", and they did...


Absolutely correct.

The policy, called Quantitative Easing, pumped some £435Bn into the economy. To do this the central bank buys assets, usually government bonds, with money it has "printed" - or, more accurately, created electronically.

Simple as that. And yes, they can rinse and repeat if necessary as long as inflation remains relatively low.


You forgot this important piece:

"The ultimate aim of this is to boost spending to reach our inflation target of 2%"
https://www.bankofengland.co.uk/monetar ... ive-easing

This is a lever in the BoE's kitbag for managing inflation
It's not what Gigabit thinks it is - a licence to print money for unaffordable programs.
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Re: The UK cannot "run out of money"

Postby Cannydc » Fri Apr 13, 2018 9:16 am

MungoBrush wrote:
Cannydc wrote:
Gigabit wrote:You keep fantastically missing the point. The 2008 bailout was a Central Government policy. They said to the BoE, "print us some money", and they did...


Absolutely correct.

The policy, called Quantitative Easing, pumped some £435Bn into the economy. To do this the central bank buys assets, usually government bonds, with money it has "printed" - or, more accurately, created electronically.

Simple as that. And yes, they can rinse and repeat if necessary as long as inflation remains relatively low.


You forgot this important piece:

"The ultimate aim of this is to boost spending to reach our inflation target of 2%"
https://www.bankofengland.co.uk/monetar ... ive-easing

This is a lever in the BoE's kitbag for managing inflation
It's not what Gigabit thinks it is - a licence to print money for unaffordable programs.


The question wasn't "What does the money get spent on ?"

It was "Can the BoE print money, as and when it pleases ?"

And the answer is YES.
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Re: The UK cannot "run out of money"

Postby MungoBrush » Fri Apr 13, 2018 9:19 am

Cannydc wrote:
MungoBrush wrote:
Cannydc wrote:
Gigabit wrote:You keep fantastically missing the point. The 2008 bailout was a Central Government policy. They said to the BoE, "print us some money", and they did...


Absolutely correct.

The policy, called Quantitative Easing, pumped some £435Bn into the economy. To do this the central bank buys assets, usually government bonds, with money it has "printed" - or, more accurately, created electronically.

Simple as that. And yes, they can rinse and repeat if necessary as long as inflation remains relatively low.


You forgot this important piece:

"The ultimate aim of this is to boost spending to reach our inflation target of 2%"
https://www.bankofengland.co.uk/monetar ... ive-easing

This is a lever in the BoE's kitbag for managing inflation
It's not what Gigabit thinks it is - a licence to print money for unaffordable programs.


The question wasn't "What does the money get spent on ?"

It was "Can the BoE print money, as and when it pleases ?"

And the answer is YES.


No, you are wrong.
The BoE is charged with executing the Governments monetary policy
It cannot create new money when it pleases.
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Re: The UK cannot "run out of money"

Postby Gigabit » Fri Apr 13, 2018 9:26 am

Is MungoBrush capable of answering a question?

You've literally just agreed with me - I assume by accident - when you said the BoE does the Government's monetary policy. What do you think the bank bailout was?

The BoE is the Government's bank, it's pretty clear I meant the Government asks the BoE to print some money, not it in of itself. In fact it has to, the Government being its majority shareholder.
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Re: The UK cannot "run out of money"

Postby Cannydc » Fri Apr 13, 2018 9:29 am

What ?

Of course it is directed by central government. By 'as and when it pleases' I meant, and should have written 'as and when the government pleases'.

You really are dancing on the head of a pin.
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Re: The UK cannot "run out of money"

Postby Gigabit » Fri Apr 13, 2018 9:31 am

Cannydc wrote:What ?

Of course it is directed by central government. By 'as and when it pleases' I meant, and should have written 'as and when the government pleases'.

You really are dancing on the head of a pin.


Think it's just DS-style trolling by purposefully missing the point. If he is a financial economist, I fear for humanity.
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Re: The UK cannot "run out of money"

Postby Cannydc » Fri Apr 13, 2018 9:33 am

Gigabit wrote:
Cannydc wrote:What ?

Of course it is directed by central government. By 'as and when it pleases' I meant, and should have written 'as and when the government pleases'.

You really are dancing on the head of a pin.


Think it's just DS-style trolling by purposefully missing the point. If he is a financial economist, I fear for humanity.


He isn't.

We are safe for now.

And even safer when his financially illiterate mates get chucked out of government.
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Re: The UK cannot "run out of money"

Postby Gigabit » Fri Apr 13, 2018 9:34 am

I have to say Mungo seems awfully similar to cbx1985.
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Re: The UK cannot "run out of money"

Postby MungoBrush » Fri Apr 13, 2018 9:41 am

Cannydc wrote:
Gigabit wrote:
Cannydc wrote:What ?

Of course it is directed by central government. By 'as and when it pleases' I meant, and should have written 'as and when the government pleases'.

You really are dancing on the head of a pin.


Think it's just DS-style trolling by purposefully missing the point. If he is a financial economist, I fear for humanity.


He isn't.

We are safe for now.

And even safer when his financially illiterate mates get chucked out of government.


You mean this illiterate government?

"The government has balanced the books on day-to-day spending for the first time since 2002 as public borrowing rapidly comes under control."

https://www.thetimes.co.uk/article/aust ... -g6037lkcb

Thank god for illiteracy
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Re: The UK cannot "run out of money"

Postby Gigabit » Fri Apr 13, 2018 9:42 am

MungoBrush wrote:
Cannydc wrote:
Gigabit wrote:
Cannydc wrote:What ?

Of course it is directed by central government. By 'as and when it pleases' I meant, and should have written 'as and when the government pleases'.

You really are dancing on the head of a pin.


Think it's just DS-style trolling by purposefully missing the point. If he is a financial economist, I fear for humanity.


He isn't.

We are safe for now.

And even safer when his financially illiterate mates get chucked out of government.


You mean this illiterate government?

"The government has balanced the books on day-to-day spending for the first time since 2002 as public borrowing rapidly comes under control."

https://www.thetimes.co.uk/article/aust ... -g6037lkcb

Thank god for illiteracy


It's a shame they promised to do this by 2015 and failed multiple times.

It's also not the deficit they promised to reduce to zero. Our annual budget deficit isn't £0 as promised. They failed, like academics said they would.
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Re: The UK cannot "run out of money"

Postby Cannydc » Fri Apr 13, 2018 9:46 am

Gigabit wrote:
MungoBrush wrote:
Cannydc wrote:
Gigabit wrote:
Cannydc wrote:What ?

Of course it is directed by central government. By 'as and when it pleases' I meant, and should have written 'as and when the government pleases'.

You really are dancing on the head of a pin.


Think it's just DS-style trolling by purposefully missing the point. If he is a financial economist, I fear for humanity.


He isn't.

We are safe for now.

And even safer when his financially illiterate mates get chucked out of government.


You mean this illiterate government?

"The government has balanced the books on day-to-day spending for the first time since 2002 as public borrowing rapidly comes under control."

https://www.thetimes.co.uk/article/aust ... -g6037lkcb

Thank god for illiteracy


It's a shame they promised to do this by 2015 and failed multiple times.

It's also not the deficit they promised to reduce to zero. Our annual budget deficit isn't £0 as promised. They failed, like academics said they would.


Correct.

Osborne spectacularly FAILED every single target he set.

Financially illiterate doesn't even cover it.
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Re: The UK cannot "run out of money"

Postby MungoBrush » Fri Apr 13, 2018 9:48 am

Gigabit wrote:
MungoBrush wrote:
Cannydc wrote:
Gigabit wrote:
Cannydc wrote:What ?

Of course it is directed by central government. By 'as and when it pleases' I meant, and should have written 'as and when the government pleases'.

You really are dancing on the head of a pin.


Think it's just DS-style trolling by purposefully missing the point. If he is a financial economist, I fear for humanity.


He isn't.

We are safe for now.

And even safer when his financially illiterate mates get chucked out of government.


You mean this illiterate government?

"The government has balanced the books on day-to-day spending for the first time since 2002 as public borrowing rapidly comes under control."

https://www.thetimes.co.uk/article/aust ... -g6037lkcb

Thank god for illiteracy


It's a shame they promised to do this by 2015 and failed multiple times.


So you think that the austerity cuts were's severe enough?
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