Trump’s interest rate crusade will be self -injurious

THere you are Two ways, the central bankers in the world learned at the Jackson Hole Conference this year, to tame a horse. You can break the animal with fear, but it will never forget the pain. The kindest way, shown to participants one evening, is to establish consistent boundaries with delicate consequences (noisy applauded). This, says Martins Kazaks of the Bank of Latvia, is like the central banking sector. Although you can increase interest rates to crush inflation, causing a recession, it is better when everyone believes in the objective of inflation, so nobody increases prices and wages first. If the boundaries are credible, the bank can be more delicate.