" Mark Carney was making some of his most detailed comments since he was announced as the surprise choice for the post in November.
He said that, although price stability was central, there were “tolerances” concerning the speed with which inflation would be brought down if the economy was struggling.
At the moment inflation is running at 2.7pc, which is above the 2pc target set by the Government.
Some economists believe that the Bank of England’s loose monetary policy is contributing to inflationary pressures and have called for an increase in interest rates.
Others argue that, while the economy is flat-lining and state spending is being curtailed, a fiscal consolidation, interest rates should remain low. "
Carney to put growth top of list - Telegraph
AtW's comment: Looks like Osborne picked the guy who'd print a lot more money to get paper growth whilst Osborne can stick to his "cuts". Higher inflation can be blamed on BoE. Ed Balls would have approved this strategy.
He said that, although price stability was central, there were “tolerances” concerning the speed with which inflation would be brought down if the economy was struggling.
At the moment inflation is running at 2.7pc, which is above the 2pc target set by the Government.
Some economists believe that the Bank of England’s loose monetary policy is contributing to inflationary pressures and have called for an increase in interest rates.
Others argue that, while the economy is flat-lining and state spending is being curtailed, a fiscal consolidation, interest rates should remain low. "
Carney to put growth top of list - Telegraph
AtW's comment: Looks like Osborne picked the guy who'd print a lot more money to get paper growth whilst Osborne can stick to his "cuts". Higher inflation can be blamed on BoE. Ed Balls would have approved this strategy.
