The Age of Financial Repression
Given low economic growth and the unpopularity of tax hikes and spending cuts, many Western governments are seeking alternative solutions to rein in rising national debt. But many of the policies that are being implemented constitute financial repression – once considered among the gravest sins that a central bank could commit.
TILBURG – Following his re-election, US President Barack Obama almost immediately turned his attention to reining in America’s rising national debt. In fact, almost all Western countries are implementing policies aimed at reducing – or at least arresting the growth of – the volume of public debt.