Why war and oil prices are no reason to raise interest rates скачать в хорошем качестве

Why war and oil prices are no reason to raise interest rates

The Bank of England meets on 19 March to decide on interest rates. Many commentators now say rates cannot fall because war in the Middle East could push up oil and gas prices and increase inflation. But that argument misunderstands what is actually causing inflation. If prices are rising because of a global energy shock, raising interest rates will not reduce those prices. Instead, it will increase mortgage costs, reduce investment and push the UK economy closer to recession. In this video, I explain why imported inflation from oil and gas prices requires a completely different response from the Bank of England. Not all inflation is the same, and treating it as if it were is simply bad economics. Take a look at the poll below:    • Запись   00:00 — War, oil prices and interest rates explained 00:50 — Why markets now expect interest rates to stay high 01:30 — Energy price shocks and inflation risk 02:15 — The key question: what is actually causing inflation? 03:00 — Imported inflation vs domestic overheating 03:40 — What interest rates are supposed to do 04:20 — Why rate rises don’t reduce energy prices 05:00 — The “wage-price spiral” argument examined 05:50 — Weak wages and declining bargaining power 06:30 — What higher interest rates really do to households and businesses 07:05 — The danger of recession from bad policy choices 07:40 — Not all inflation is the same 08:05 — Why the Bank of England risks making the wrong decision TRANSCRIPT A transcript for this video is available at: https://www.taxresearch.org.uk IF YOU WANT TO WRITE TO YOUR MP ABOUT ISSUES IN THIS VIDEO If you want to write a letter to your MP on the issues raised in this blog post, there is a ChatGPT prompt to assist you in doing so, with full instructions, here. https://www.taxresearch.org.uk/Blog/2... HOW TO SUPPORT US Please consider donating: https://ko-fi.com/taxresearch ABOUT RICHARD MURPHY Richard Murphy is Emeritus Professor of Accounting Practice at Sheffield University Management School. He is director of Tax Research LLP and the author of the Funding the Future blog. His best-known book is ‘The Joy of Tax’. This video was edited by Thomas Murphy. RICHARD MURPHY ON BLUESKY: https://bsky.app/profile/richardjmurp... OR ON MY BLOG: http://www.taxresearch.org.uk/Blog/ HIT SUBSCRIBE & GET NOTIFICATIONS Subscribe and get notified of new videos released. INTRODUCTION:    • Welcome to my channel - Richard J Murphy -...   PLAYLISTS: The Wealth Series    • The Wealth Series   Ecenomics    • Ecenomics   Britain    • Britain   Tax    • Tax   MMT    • MMT   Money    • Money   Climate Change    • Climate Change   USA    • USA   Labour    • Labour   The Trump Administration    • The Trump Administration   #richardmurphy #richardjmurphy #economy #economics #accountancy #accounting #tax #uktax #ukeconomy #greennewdeal #uk #money #economy #politics #government #tax #labour #health #life #InterestRates #BankOfEngland #OilPrices #EnergyCrisis #InflationExplained #ImportedInflation #EconomicPolicy #UKEconomy #MortgageRates #CostOfLivingCrisis #Geopolitics #EnergyPrices #CentralBankPolicy #RecessionRisk #PoliticalEconomy #FundingTheFuture #RichardMurphy