A number of inflationary forces will remain in place for a long time

themarketNZZ/Mark Dittli/2-23-2023

“That’s basically the story that I’m telling: We have a more inflationary future coming, so real rates should rise, that means nominal rates should rise probably quite significantly, and that one of the worries central banks have is that they could cause instability in the financial system. Then of course they get blamed for it. Central bankers are human. Well, most of them are, anyway.”

USAGOLD note: We haven’t heard much from William White in recent months. In this interview, The former chief economist at the Bank for International Settlements,  brings us up to date on his thinking warning that the stakes are high for central banks. He asks: “What if all of a sudden citizens become convinced that the government is not delivering on its promises? Where does that lead in terms of democracy and faith in the system?”