Economics class: How long will the Bank of England keep interest rates high?
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Specification:
Monetary policy, inflation
Click to read the article below and then answer the questions:
How long will the Bank of England keep interest rates high?
Distinguish between i) loose monetary policy; and ii) tight monetary policy
Bank of England chief economist Huw Pill compared the direction of travel for UK interest rates to Table Mountain in South Africa. Explain what this means for interest rates
With reference to the chart of bank rate forecasts, evaluate whether Huw Pill’s ‘higher for longer’ is more desirable than a Matterhorn policy of sharp rises and falls
Gavin Clarke, Emmanuel College
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