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Head of world’s largest hedge fund says adoption of unorthodox monetary policy is ‘inevitable’

edited May 2019 in Off-Topic
“It is inevitable that this shift will happen because it is inevitable that central bankers will want to ease when interest rates are pinned at 0% and when quantitative easing will be ineffective in achieving the goal ...”

“Dalio makes the case that traditional policies have widened the gap between the poor and the wealthy rather than helping to stimulate growth across socioeconomic classes, among other aforementioned foibles. The hedge-fund founder believes that an alternative to MMT, so-called MP3, a coordinated one-two punch of fiscal stimulus and monetary stimulus, also could be used to address weakness in economic polices.”

https://www.marketwatch.com/story/the-head-of-the-worlds-largest-hedge-fund-says-adoption-of-unorthodox-monetary-policy-is-inevitable-2019-05-02

Comments

  • Dalio's a smart guy. I don't follow him closely, but he seems to get his big macro calls more right than wrong. Thanks for posting, @hank.
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