Chief dove calls for more QE across G7 countries

Julian Harris
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BANK of England’s chief dove, Adam Posen, yesterday urged authorities across the G7 to throw themselves into a last ditch programme of quantitative easing, designed to stimulate growth.

“Additional monetary stimulus is the last line of defence for the advanced economies today, and G7 central banks should purchase more assets if we are to have any hope of our economies ever catching up,” Posen said.

The American economist has long been a lonely voice on the Bank’s monetary policy committee, calling for an extension of QE, although some colleagues appear to be on the verge of supporting him.

“The evidence is clear that the Bank’s and the Fed’s asset purchases had a positive significant effect,” Posen claimed in a Reuters opinion piece.