IMF head Christine Lagarde and Bank of England Governor Mark Carney both spoke last week in London on the subject of “inclusive capitalism” at a highly exclusive conference organized by Lady Lynn Forester de Rothschild ...Peter Foster:
... [both] made very literate and interesting speeches arguing that rising inequality ... fundamentally threatens capitalism ...
Strangely, in view of their concern about inequality, neither ... offered to do their bit by taking a pay cut. ... Carney ... total compensation ...reported to be in the neighbourhood of £1 million per annum. ... If people at the top end making too much money is the dangerous social problem they both think it is, why don’t they help out by taking a pay cut?
... Canadian rock star Governor of the Bank of England Mark Carney ... was hypocritically flailing away at a straw man. [He] wittered on last week about how fundamentalist capitalism was increasing inequality and hurting the poor ... It is pretty much a rule that anybody who attaches a qualifier to the word “capitalism” is seeking to undermine it.
Carney may be among the most overrated men in recent history. It’s not that he lacks raw intelligence. It’s that the feats attributed to him ... are within the capacity of no man.
An explanation for this dangerous state of mind is contained in a must-read paper by an academic named Slavisa Tasic: “Are Regulators Rational?” Mr. Tasic concludes that they suffer from “illusions of competence” and are entirely blind to the power and subtlety of markets.