With a review of the monetary framework looking likely, policymakers should consider giving the pound a more explicit role in policy. Committing to a lower pound would not be without its costs; in the near term, consumers’ real incomes would suffer. But if hopes for a stronger economy rest with a re-balancing towards the external and corporate sectors, focusing on sterling could be the answer.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services