Supply shocks are dictating inflation, King insists

mervyn-king

The Bank of England's Monetary Policy Committee neither could nor should try to prevent the UK wage squeeze that is exerting an effect on living standards, Mervyn King, the governor of the central bank, said Tuesday.

King said in Newcastle the UK economy must endure a period of unhappiness, as the opinion of some that the Bank could have prevented the fall in take-home pay by controlling inflation through an earlier rate-hike was misjudged.

"That view is a misunderstanding of how monetary policy

To continue reading...

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: