The Ultimate Subsidy For The Rich

I am delighted that Fraser Nelson and the Spectator have picked up something we have been saying all the time for our nearly three years in existence: that QE is a regressive tax that transfers from the poor to the rich and should be stopped with immediate effect. This of course should not be the only reason why it should be stopped, the principal one being that no new amount of money units created causes more goods and services to be made — more things that people want at cheaper prices (yes, deflated prices!), served in a more timely fashion to suit the most urgent consumer needs. Only entrepreneurs, by refraining from consumption — i.e., doing that most terrible of things according to the mainstream economist, saving — can they deploy their wealth to invest in more intensive, better combinations of factors of production.  In short, to invest further in the capital structure of their business to produce these better goods and services. I recommend this article and welcome that even the mainstream media are now starting to pick up on these points. There may be hope for sound economic reasoning yet!