Barclays Talks Down Helicopter Money

With democracy being one of the messiest and least efficient forms of decision making known to man, Barclays notes that helicopter money could be a tool to break the gridlock. But a central bank taking such action to usurp the authority of elected leaders “in major currency areas that concern us” is unlikely, as the bank opposes the concept and has been among a growing library of research on the topic.

Stimulus invests in bonds while helicopter money is being discussed to target infrastructure

The primary difference between central bank “stimulus,” and affectionate term, and the more crudely presented “helicopter money,” is the stimulative target.  While helicopter money is defined at a...