Tags » Financial Crises

Scotland's currency options

One of the controversial topics in the debates of Scottish independence is the currency question. The other day, the Financial Times asked several economists to consider four options available to an independent Scotland: a currency union with the UK, sterlingisation (which would be the continued use of the pound sterling but without backing of the Bank of England), establishing a new Scottish currency, and joining the euro. 1,516 more words

Financial Crises

Blanchard on dark corners

Olivier Blanchard doesn’t exactly say *where* the dark corners are, but argues – quite correctly in my view – that the main objective of macro policy should be to stay away from them. 103 more words

Economics

Why we have financial crises

I believe the root cause of financial crises is in the fractional reserve system of creating money.  Therefore the way to avoid future crises is to change how we create money. 1,081 more words

Economics