Stacy Summary: What do you think about Tucker’s argument that he prefers not to target asset bubbles but to ‘strengthen resilience’ of the banking system during credit booms?  By giving them more taxpayer money?  If so then those taxpayers who will have to bailout the scheme when it busts would be chumps not to play the next ponzi scheme game because at least then they have a remote chance of winning.

• Bank of England will not target asset bubbles

[Tucker] said that, alongside inflation targeting, the Bank was considering whether to try to control asset price bubbles, credit growth or “strengthening the resilience of the banking system during credit booms”. He added he was minded to favour the final objective, which could in turn help control asset-price booms indirectly. Many had assumed that the Bank would embark on an asset-price targeting system, because the recent boom had at its heart increases in the price of houses.