(no subject)
Now I've said many times I don't know that much about 'finance'. It confuses me. Lots. But back in 2009 the Bank of England started quantitive easing. (Printing more money) The theory being it would spark growth in the economy. We would have infrastructure projects with happy workers earning an honest wage. What happened was the banks got the money and used it to rebuild their capital. I'm not sure if this is a good or a bad thing, does it just prop up a crappy system that has led to huge amounts of suffering for societies most vulnerable or is it the only way to protect society itself? That's not really the point, though it would have been nice for the BoE to just come out and say that was the plan.
The amount of extra money that's been printed is £375 billion. That's quite a lot. And again, let me reiterate that I don't really know how global finance works. I do know that poor people spend it and rich people save it. If you had given that money out to those most in need rather than hoping it would be invested then they would have frittered it away on things like bills, food and travel. That helps the economy, it actually does GROW the economy.
I mean, it would grow the economy more if the special, business friendly tax rates we hand out to companies who keep coughing and pointedly glancing at one way plane tickets to Luxembourg was a little more society friendly, but still, most of that money would get back to UK banks in the end anyway.
So what am I missing? (Seriously, what AM I missing?)