"There is a crack in everything, that's how the light gets in"
(Leonard Cohen)
"Ignore all proffered rules and create your own, suitable for what you want to say"
(Michael Moorcock)
"Look for your own. Do not do what someone else could do as well as you. Do not say, do not write what someone else could say, could write as well as you. Care for nothing in yourself but what you feel exists nowhere else. And, out of yourself create, impatiently or patiently, the most irreplaceable of beings."
(Andre Gide)
"I want my place, my own place, my true place in the world, my proper sphere, my thing which Nature intended me to perform when she fashioned me thus awry, and which I have vainly sought all my life-time."
(Nathaniel Hawthorne)
“A book must be the axe for the frozen sea within us.”
(Franz Kafka)
"All mankind is of one author, and is one volume; when one man dies, one chapter is not torn out of the book, but translated into a better language; and every chapter must be so translated"
(John Donne)
“Never attribute to malice that which is adequately explained by stupidity.”
(Robert J. Hanlon)
"Life is beautiful, but the world is hell"
(Harold Pinter)

Tuesday, October 21, 2014

Euro Zone: Going Nowhere Fast

George Osborne: gloomy
EXTRACTHowever, the International Monetary Fund’s fears run even deeper. Blanchard admitted it was “entirely possible” that the developed countries will never return to their pre-crisis growth levels: a big chunk of economic production has been permanently lost. We are now entering a period of secular stagnation - ie, there has been a structural decline in potential growth rates. And the achievement of even these lower rates of expansion - one of the more optimistic scenarios - would require interest rates to be maintained at historically low levels over a lengthy period, and that brings its own problems, of course.
Yes, rock-bottom interest rates, combined with quantitative easing, has generated copious amounts of cheap money. But it has not done what was intended, which was to reawaken the animal spirit in capital and hence encourage investment - that in turn would power economic growth. Rather, delighted speculators have had casino chips stuffed into their hands. Or, in the words of the IMF’s financial counsellor, José Viñals, we are facing a “global imbalance” - with “not enough economic risk-taking in support of growth”, but instead “increasing excesses in financial risk-taking” that are “posing stability challenges”.

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