Marc Faber :"...Yes, but we have to define tighten. If you have inflation in India and in China running up say around 10%, I don’t believe in China inflation is 4% and if you increase interest rates say from 3-4%, we still have in real terms highly negative interest rates. There hasn’t been any monetary tightening, in such we have increased interest rates.
Just as the Federal Reserve, between 2003 and 2006, increased the Fed Fund Rate from 1% to 5.25%, there was never any monetary tightening because credit growth accelerated...."
in www.moneycontrol.com
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