Friday, November 1, 2013
Permanent Currency Swaps Will Make Matters Worse
Re: Central Banks Make Swaps Permanent as Crisis Backstop
Rather than backstop and mitigate a crisis, these currency swaps will cause the crisis to spread. This is a typical socialist solution, perpetrated by today's preeminent socialist institutions--central banks. Permanent currency swaps will cause a crisis to spread rather than mitigate its underlying causes. Dumping one currency for another is simply an indication of rational self-interest by those who understand reality.