Don't Blame Central Banks for Inequality, BIS Chief Says : v

Don't Blame Central Banks for Inequality, BIS Chief Says


Don’t Blame Central Banks for Inequality, BIS Chief Says
This content was published on May 6, 2021 - 16:30
May 6, 2021 - 16:30
(Bloomberg) --
Economic inequality isn’t caused by central banks, and government officials must play their part in tackling the fundamental reasons for the gap in income and wealth, according to the Bank for International Settlements.
“Inequality is not a monetary phenomenon over the long run,” BIS General Manager Agustin Carstens said in a speech at Princeton University on Thursday.
“Central banks are fully aware of the consequences of their actions on income and wealth distribution over shorter horizons,” but “they do not have the necessary tools to achieve targeted distributional outcomes on top of their mandated objectives.”

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