Monday 9 December 2019

There is another funding crunch coming

This Sydney Morning Herald story warns of  another financial crisis on the way. It will not be caused by a plunge in trust in transatlantic financial institutions like the 2007/8 crunch, but as I understand the rather arcane explanation the effects will be the same: a shortage of ready money for big borrowers. This is not a time for prospective chancellors to plan expansion of the UK economy based on borrowing, as John McDonnell and Sajid Javid propose.

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