The thinking was of some light relief this weekend from all the serious material. But a link in Automatic Earth to a Zero Hedge item on money and growth hit a nerve.
The article in full is not too long and less complicated than most. Here are two choice paragraphs:
In fact, the prospect of improvement in economic growth is largely a monetary illusion. No one needs to explain how policymakers have made painfully little progress on the structural reforms necessary to increase global productive capacity and stimulate employment and demand.
Lacking the political will necessary to address the issues, central bankers have been left to paper over the global malaise with reams of fiat currency.
Essentially, monetary authorities around the globe are levying a tax on investors and providing a subsidy to borrowers. Taxation and subsidies, as well as other wealth transfer payment schemes, have historically fallen within the realm of fiscal policy under the control of the electorate.
Under the new monetary orthodoxy, the responsibility for critical aspects of fiscal policy has been surrendered into the hands of appointed officials who have been left to salvage their economies, often under the guise of pursuing monetary order.
And beware of politician speak. Very many of the grand schemes and projects for "economic growth" will never pay their way and will store up more debt liabilities, added user costs and greater need for subsidies in the future.