Quantitative easing

Mervyn King said on Wednesday that the UK central bank’s monetary policy committee would consider printing money to buy government debt. The Governor of the Bank of England will please those who see expansion of the money supply as the only way to pull the economy out of its sharp dive. But there are legitimate causes for concern. The idea is that the UK government, instead of selling all its huge proposed debt issuance to private investors, will have some of it funded by the central bank. That...