Stephens told me: “Monetary easing, always and everywhere, boosts inflation relative to what it would otherwise be. This includes quantitative easing. I don’t agree with your assertion that ‘quantitative easing has not resulted in inflation’. I expect [quantitative easing] will help New Zealand avoid deflation in the current recession. Note that the government still has to repay the debt bought by the central bank.”But the debt mountain was also not a big deal, he said.

Source: Stuff October 15, 2020 02:02 UTC