BagehotsWay

An understanding of the actions and likely actions of Central banks, as well as their cooperation (the key element used to stem the crisis and stop the entire system from collapsing) will aid the decisions of all traders in the money markets. Never before has the actions of the Central Banks been so import to the health and direction of the financial world. Steve’s work revives lessons from history, using a balance sheet approach to follow the money in the way suggested by a line of economic writers beginning with Walter Bagehot (1826) and ending in the modern day with Perry Merhling.