Macroeconomic Monitor
Home / 2013 / March / 27

2013.03.27

How central banks decided we didn't need a risk premium

Central bank intervention in financial markets distorts the supply and demand of various asset classes, which has repercussions on the productive structure of the economy and the consumption and saving behavior of individuals. Eliminating the risk premium is only part of the central bank's portfolio of vices.

More »