May 24, 2009

Economic indicators

"To this day, in the ornate room in the Bank of England where the institution's governing body meets is a dial affixed high on the wall and connected to a windvane on the roof. In the early 19th century, the direction of the wind was used to set monetary policy. If the breeze was blowing up the Thames and ships were able to come into port, the Bank would need to extend more credit to enable merchants to buy the arriving goods."

This is from False Economy, which I am currently reading.

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