It has not taken the new governor of the Bank of England, Mark Carney, long to discover that the British economy is far less manageable than the Canadian one, which he was previously in charge of.
His much-trumpeted policy of ‘forward guidance’ – a pledge to keep interest rates at their current 300-year lows at least until the unemployment rate dropped to 7% – has fallen apart less than six months after it was unveiled.
When he unveiled the target, Carney thought that it was in no danger of being hit until at least 2017. Yet with the UK economy [...]
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