Today, the Bank of England’s Adam Posen stated that the central bank needs to address persistent slow growth by starting another round of quantitative easing. Here’s his argument: “There remains a significant gap between what the economy could be producing at full employment and what it currently produces….Monetary policy should continue to be aggressive about promoting recovery, and, subject to further debate, I think further easing should be undertaken.” This is the opposite of what Bank of England’s Andrew Sentence just yesterday (raise rates to combat inflation). These opposite views on the outlook for risks to the UK economy generate … …READ MORE