Report
Patrick Artus

Proposals that do not advance reflection

The coronavirus crisis has led to many "unconventional" economic policy proposals being put forward, but some, although popular, are not worthwhile. For example: Cancelling the public debt held by central banks is pointless, since if central banks do not reduce the size of their balance sheets after the crisis, the debt they hold is de facto cancelled; Suggesting to use helicopter money is not meaningful , since what governments and central banks are currently doing is already helicopter money; Separating retail banking and investment banking activities is not helpful in reducing banking risk since the danger is the rise in defaults on loans, i.e. on the retail banking side.
Provider
Natixis
Natixis

Based across the world’s leading financial centers, Natixis CIB Research offers an integrated view of the markets. The team provides support to inform Natixis clients’ investment and hedging decisions across all asset classes.

 

Analysts
Patrick Artus

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