It shouldn't be allowed.Seriously.
why does the bank set a rate. they have no control, so why bother?
the MPC should also publish Tractor Production stats for the potempkin area.
That's because the MPC don't control LIBOR.
CU, did you vote option 4 in the poll in the side bar?
Far from setting a minimum lending rate - they should have been setting a maximum loan to value rate all along.Think about it; any LTV above 90% was ALWAYS going to spin markets out of control. It was never legislated for because it was assumed too daft; until it was actually common place.
Anonymous, far better for banks to have a supervised reserve ratio.The average reserve ratio should rise with rising M4 and fall with a falling M4.