Love him or hate him, AEP is one of the most read economics columnists in the UK and around the English speaking world.
AEP was off for a while and he is now back proffering his own solutions for a crisis that is daily becoming increasingly lethal for sovereigns and people alike (but not for the banks however).
I read AEP because many do and many reference him and because despite the fact I don’t agree with his solutions, I do find the data he digs out useful.
And so it is that on this torridly hot day in Amman I perused AEP’s column where he discusses the woes of Greece, Spain and Italy and of the world in general and, in guise of closing argument to an otherwise factual article, AEP suggests that (emphasis added):
“A full-throttle global recovery would mitigate this [ed. no kidding]; a half-decade of super-easy money by the ECB to weaken the overvalued euro and stave off debt deflation would help, too.”
… ??? … (insert stupefied disbelief emoticon here)
Just because politicians and economists of AEP’s variety believe that easy money can stimulate an economy, interest rates in the West have been on an inexorable march towards oblivion for the best part of 30 years. Yet, today we find ourselves in the predicament we are in… What makes AEP or anyone else think that even more of the same could now magically help us come out of this shit hole?
Read far and wide though he may be, AEP certainly lacks the ability to observe what is empirically glaring for anyone that wants to see it: