What is it that I apparently know that the Bank of England economists do not?
There is a heightened sense of concern over the fragility of the economy after yesterday’s speech by Mervyn King, Governor of the Bank of England and the release of its monetary policy committee minutes today. It all fuels the worry that we really are heading back into the deep doodoo. The downsides are obvious. The upside is that this should help to pull inflation down in the medium term, after a series of “special factors” raised the rate to a level not…